Hi, Please help me solve this managerial accounting question, thank you so much.

QUESTION 1 The city of Charleston had the following sales of water for the selected months of 2017: Month Febmary March April May June July Sales S60,ooo 45,000 60,000 42,500 100,000 120,000 All sales are on credit. Historically, 60 percent is collected in the month of sale, 30 percent during the first month following the sale, and 10 percent in the second month following the sale. Water purchases by month are as follows: Month Febmary March April May June July S60,ooo 40,000 45,000 59,750 52,500 90,000 Water is purchased in the month of sale. All purchases are paid during the month following the purchase. Operating costs are Sl 8,000 and everything is paid in cash except for depreciation, which totals SS,OOO a month. The city plans on purchasing some new equipment in May for $25,000 in exchange for a note payable. The April I cash balance is expected to be $5,000. The city must maintain a minimum cash balance of Sl 0,500, and money can be borrowed from a local bank in increments of $1,000. The city borrows money at the beginning on the first day of the month and repays loans and interest on the last day of the month. The bank charges the city an annual interest rate of 150 0.