Harp Company requires a minimum cash balance of $$4,500.$ When the company expects a cash deficiency, it borrows the exact amount required on the first of the month. Expected excess cash is used to repay any amounts owed. Interest owed from the previous month's principal balance is paid on the first of the month at $15\%$ per year. The company has already completed the budgeting process for the first quarter for cash receipts and cash payments for all expenses except interest.

$($Click the icon to view the completed budget information.$)$

Harpdoes not have any outstanding debt on January$1$Complete the cash budget for the first quarter for HarpCompany. Round interest expense to the nearest whole dollar.

Begin by preparing the cash budget for January, then prepare the cash budget for February and March. Finally, prepare the totals for the quarter. $($Complete all answer boxes. Enter a $"0"$ for any zero balances. Round all amounts entered into the cash budget to the nearest whole dollar. Enter a cash deficiency and$/$or negative effects of financing with a minus sign or parentheses.$)$

Harp Company

Cash Budget

For the Three Months Ended March $31$

$\backslash$table$[[1,$January$],[$Beginning cash balance,$4,500],[$Cash receipts,$18,500],[$Cash available,$23,000],[$Cash payments:,$],[$All expenses except interest,$33,000],[$Interest expense,$0],[$Total cash payments,$33,000],[$Ending cash balance before filnancing,$],[$Minimum cash balance desired,$(4,500)$