For t$1$his assignment, you will read the following scenario and familiarize yourself

with Bluepanda Inc.$\text{'}$s finances. Once you have a good understanding of the

financial undertakings, use the information provided in the scenario to complete

the cash budgeting tasks below:

Bluepanda Inc. sells electronic parts for equipment used mainly in the

construction industry. The company has faced some issues in managing its

working capital and has recently lost some key suppliers due to

mismanagement of cash and delay in vendor payments. Bluepanda has hired

you as a financial consultant to look into this matter and provide a

comprehensive perspective. Management would like to maintain a cash

balance of more than $$15,000$ each month as financial prudence.

After considering all the information provided, you decided that having a cash

budget would be the first step to understand the shortfall$/$surplus of cash and

will aid in working capital management. You arranged a meeting with the

marketing team and gathered the following information:

Sales Forecast

The accounts management team provided the following information:

$80\%$ of revenue is on a cash basis.

$20\%$ is collected after $30$ days.

Cost of sales, which is $50\%$ of revenue, is incurred in the month in which

the sales are made.

These goods are paid for $30(1$ month$)$ days after the purchases are

made.

Monthly selling and administrative expenses are as follows:

Other budgeted expenses are as follows:

Taxes: $$10,000$ in February, $$10,000$ in April, and $$10,000$ in

September

Purchase of assets: $$3,000$ in January, $$12,000$ in February, $$20,000$ in

March, and $$3,000$ in April

Cash balance on January $1,2023,$ is $$3,000$

Use the above information to complete the following task:

Prepare a cash budget for the months of January $2023,$ February $2024,$

March $2023$ and April $2023.$

Based on the cash budget, provide recommendation to the management

of Bluepanda on cash management and any suggestions to improve cash

management.

Provide comments on their ability to maintain the desired cash balance of

$$15,000$ each month.

Note: Please submit an excel file and try to use excel formula$/$linking wherever

feasible.