Exercise 20-17 Preparation of cash budgets (for three periods) LO P2 Kayak Co, budgeted the following cash receipts (excluding cash receipts.from loans received and cash payments (excluding cash payments for loan principal and interest payments) for the first three months of next year. JANUARY February Maceh Receipt 5519,000 402,000 462,000 Cash payments $468.000 351.000 525.000 According to a credit agreement with the company's bank, Kayak promises to have a minimum cash balance of $30,000 at each month-end. In return, the bank has agreed that the company can borrow up to $150,000 at a monthly interest rate of 196, pold on the last day of each month. The interest is computed based on the beginning balance of the loan for the month. The company repays loan principal with any cash in excess of $30,000 on the last day of each month. The company has a cash balance of $30,000 and a loan balance of $60,000 at January 1 Prepare monthly cash budgets for January, February, and March. (Negative balonces and Loan repayment amounts bir any should be indicated with minus sign.) March KAYAK COMPANY Cashbudget For January February, and March Any lieginning cash balance 30,000 Cash receipts Total cash walt Cash payments interest expense Preliminwy cash balance Addition to any Ende chance Con blanco Loa blance Beginning of month $ 80,000 Adont loan on repayment Lon Dance End of month