Current Attempt in Progress

Crane Company expects to have a cash balance of $$27,600$ on January $1,2025.$ These are the relevant monthly budget data for the

first two months of $2025.$

Collections from customers: January $$42,600$ and February $$87,600.$

Payments to suppliers: January $$24,000$ and February $$45,000.$

Wages: January $$18,000$ and February $$24,000.$ Wages are paid in the month they are incurred.

Administrative expenses: January $$12,600$ and February $$14,400.$ These costs include depreciation of $$600$ per month. All

other costs are paid as incurred.

Selling expenses: January $$9,000$ and February $$12,000.$ These costs are exclusive of depreciation. They are paid as incurred.

Sales of short$-$term investments in January are expected to realize $$7,200$ in cash. Crane has a line of credit at a local bank

that enables it to borrow up to $$15,000.$ The company wants to maintain a minimum monthly cash balance of $$12,000.$

Prepare a cash budget for January and February. $($List items that increase cash balance first.$)$

CRANECOMPANY

Cash Budget

$1$