Glasstop Ltd Glasstop Ltd (Glasstop) makes coloured glass window decorations and will soon be expanding the business using a loan from the bank. It is preparing its cash budget for the months July to September to enable it to understand its cash flow, as it has agreed to rent new premises from July. The management accountant has prepared the following information. The bank balance on 1 July is 12,000 in credit. Sales revenue and general expenses for May and June were: May June Sales revenue 21,000 22,000 General expenses 3,400 3,200 Sales revenue and general expenses for July to September are budgeted to be: July August September 24,000 23,000 35,000 3,500 3,200 5,300 Sales revenue General expenses It has been determined from the customer collection records of Glasstop that cash sales account for 30% of total sales. The credit sales customers pay two months after sale. One credit customer, who bought goods for 300 in May, was declared bankrupt a few days after the sale and will not be able to pay Glasstop. Glasstop wishes to set up a general bad debt provision of 500 for September. General expenses are paid in the month following the month in which they were incurred. The cost of purchases is 25% of sales revenue each month. Glasstop currently pays for purchases two months later. However, for purchases made in June and purchases thereafter, Glasstop has agreed with the supplier that it will take three months to pay. From July, Glasstop will be renting new premises. The rent and rates will be 5,000 per month payable in the month in which they are incurred. Staff will be expected to work longer hours and therefore current staff costs of 3,000 per month will increase by 10% from July. Staff costs are paid in the month in which they are incurred. Taxable profit for last year amounted to 8,200 and the tax on this (at a rate of 20%) is due to be paid in September. New machinery will be purchased on 1 June at a cost of 12,000, payable in three equal instalments in June, July and August. The scrap value is estimated to be 2,000 in three years' time. Old machinery with a net book value of 5,000 is to be disposed of in July for a cash receipt of 1,000. New fixtures and fittings will be purchased for 10,000 and will be paid for in full in July. The estimated scrap value is 1,500 in four years' time. Monthly depreciation on the new machinery and the new fixtures and fittings is calculated on a straight line basis. Glasstop's loan from the bank of 20,000 was received on 30 June. Interest of 0.3% on the 20,000 is paid monthly. Prepare the cash budget for each of the three months ending 30 September. You should make an entry in every box in the cash budget. Enter a zero or dash where applicable. Do not leave any boxes blank. All figures should be entered to the nearest .