During December 2021, Hybrid has the following information to prepare its cash budget for January (4 weeks) 2022:

• Bank balance at 1 January 2022 is $ 6,000 bank overdraft.
• December sales were $90,000 (50% were on credit/account, 50% were cash). The December and January credit sales customers are expected to pay in the month following and be given a 3% discount for prompt payment. January sales - estimated to be $80,000 (40% on credit/account, 60% cash).
• Creditors are paid in the month after purchase. The balance of creditors at 31 December 2021 was $10,000.
• Computers will be purchased on 29 January for $30,000 cash and $20,000 on account.
• Other cash expenses are expected to be $5,000 each week.
• Owner takes $900 cash and $100 stock each fortnight for personal use.
• $500 interest on loan will be repaid to RIP on 31 January.
• Sale of machinery for cash in January is estimated to be $9,350. Gain on sale is estimated to be $2,350.
• Depreciation is $500 each month.
• Wages payments will be $20,900 each month.

Required

a) Prepare a Cash Budget for Hybrid for the month ending 31 January 2022.

	$	$
Cash receipts:
Less cash payments:
Increase (Decrease) in Cash
Cash (Overdraft) at 1 January 2022
Cash (Overdraft) at 31 January 2022