Dubai Inc. has budgeted sales revenues as follows for the month of June, July and August 2021. June July August Credit Sales$135,000$125,000$90,000 Cash Sales$ 90,000$255,000$195,000 Total sales$225,000$380,000$285,000 Past experience indicates that 60% of the credit sales will be collected in the month of sale and remaining 40% will be collected in the following month. Purchases of inventory are all paid in the month of purchases i.e. July $270,000 and August $172,500 . Other cash disbursements budgeted: (i) selling and administrative expenses of $48,000 each month, (ii) dividends of $103,000 will be paid in July, and (iii) purchase of Equipment in August for $30,000 cash. The company wishes to maintain a minimum cash balance of $50,000 at the end of each month. The company borrows money from the bank at 6% interest per annum if necessary to maintain the minimum cash balance. Borrowed money is to repaid in months when there is an excess cash balance. The beginning cash balance on July 1st was $50,000. Assume that borrowed money in this case is for one month. Required: Prepare a cash budget for the months of July and August 2021. (12 marks) (B) What is a budget and how does a budget contribute to good management (8 marks)