Current Attempt in Progress

Bridgeport Company expects to have a cash balance of $$45,000$ on January $1,2022.$ Relevant monthly budget data for the first two

months of $2022$ are as follows:

Collections from customers: January $$102,000$; February $$162,000$

Payments to suppliers: January $$59,000$; February $$79,000$

Direct labour: January $$29,000$; February $$46,000.$ Wages are paid in the month they are incurred.

Manufacturing overhead: January $$25,000$; February $$31,000.$ These costs include depreciation of $$1,000$ per month. All

other overhead costs are paid as incurred.

Selling and administrative expenses: January $$17,000$; February $$20,000.$ These costs are exclusive of depreciation. They

are paid as incurred.

Sales of marketable securities in January are expected to realize $$9,000$ in cash.

Bridgeport Company has a line of credit at a local bank. It can borrow up to $$27,000.$ The company wants to keep a minimum monthly

cash balance of $$27,000.$