Family Power, a family-owned battery store, began October with $12,400 cash. (Click the icon to view additional information.) Requirement Prepare Family Power's cash budget for October and November. Additional information Family Power Cash Budget October and November October November Beginning cash balance Cash collections from customers Management forecasts that collections from credit customers will be $10,600 in October and $15,600 in November. The store is scheduled to receive $4,500 cash on a business note receivable in October. Projected cash payments include inventory purchases ($12,000 in October and $13,100 in November) and operating expenses ($4,500 each month). Family Power's bank requires a $8,500 minimum balance in the store's chequing account. At the end of any month when the account balance dips below $8,500, the bank automatically extends credit to the store in multiples of $1,000. Family Power borrows as little as possible and pays back loans in quarterly instalments of $1,000 plus 2% interest on the entire unpaid principal. The first payment occurs three months after the loan Collection of note receivable Cash available before financing Cash payments: Purchases of inventory Operating expenses Total payments Ending cash balance before financing Print Done Minimum cash balance desired Activa