. : $ $ e Textbook and Media Save for Later Attempts: 0 of 3 used Submit Answer Sandhill Company expects to have a cash balance of $49.500 on January 1, 2020. Relevant monthly budget data for the first 2 months of 2020 are as follows. Collections from customers: January $93,500, February $165,000. Payments for direct materials: January $55,000. February $82,500. Direct labor: January $33,000, February $49,500. Wages are paid in the month they are incurred. Manufacturing overhead: January $23,100. February $27.500. These costs include depreciation of $1.650 per month. All other overhead costs are paid as incurred. Selling and administrative expenses: January $16,500. February $22.000. These costs are exclusive of depreciation. They are paid as incurred. Sales of marketable securities in January are expected to realize $13,200 in cash. Sandhill Company has a line of credit at a local bank that enables it to borrow up to $27,500. The company wants to maintain a minimum monthly cash balance of $22,000. Prepare a cash budget for January and February SANDHILL COMPANY Cash Budget January February $