Cross Company has $10,000 in cash on hand on January 1 and has collected the following budget data: (Click the icon to view the budget data.) Assume Cross has cash payments for selling and administrative expenses including salaries of $60,000 plus commissions of 1% of sales, all paid in the month of sale. The company requires a minimum cash balance of $9,000. Prepare a cash budget for January and February. Will Cross need to borrow cash by the end of February? Cross Company Cash Budget Two Months Ended January 31 and February 28 Beginning cash balance Cash receipts Cash available Cash payments: Purchases of merchandise inventory Selling and administrative expenses Total cash payments Ending cash balance before financing Minimum cash balance desired Projected cash excess (deficiency) Financing: Borrowing Principal repayments Total effects of financing Ending cash balance January Data table Sales Cash receipts from customers Cash payments for merchandise inventory January February $ 1,300,000 $ 720,000 851,590 871,200 561,100 532,346 Print Done