GHI Enterprises has provided the following budget information for the upcoming quarter:

• Expected Sales: £300,000
• Expected Purchases: £180,000
• Expected Operating Expenses: £50,000
• Expected Administrative Expenses: £30,000
• Beginning Cash Balance: £20,000

Requirements:

1. Prepare a cash budget for the upcoming quarter, assuming all sales are on credit and 70% of sales will be collected in the same quarter.
2. Determine the expected ending cash balance for the quarter.
3. Analyze the cash flow situation and suggest ways to improve cash management if necessary.