If you watched Game of Thrones, you know who Sophie Turner is. Turner is also widely known for her viral Juuling photos and appears to be a Juul fanatic given that directors will take away her Juul to make her bawl in crying scenes on set. In any case, (again fictional from here on) with Game of Thrones over, Turner decides to take on a new business opportunity: her own line of electronic cigarettes called Sansavape. Below is the sales budget (in units) for 2021's first quarter: January - 50,000 February - 40,000 March - 80,000 Each Sansavape will be priced at $30.50% of sales are cash; the other 50% are on credit. The cash collection pattern is as follows: 40% in the same month 55% in the following month 5% uncollectible Turner also wants to keep a finished goods target ending inventory of 25% of the following month's expected sales. In addition, Turner expects cash disbursements in each month from these budgets: Raw material purchases: $230,000 Direct Labor: $180,000 Manufacturing Overhead: $420,000 Selling & Admin: $200,000 On January 1, Sansavape had $100,000 in cash. Sansavape wants to keep a minimum cash balance of $250,000. Their bank has an open line of credit for $1,000,000 at a 10% annual interest rate. All principal and interest, if any, will be paid at the end of the quarter. Sansavape also wants to pay $10,000 in dividends in January to impress shareholders from the very beginning. a. Find cash collections for the month of January. Sansavape came into existence Janaury 2021 so there are no sales from prior months (3 points). b. Find production in units for the month of January. (3 points) c. What is the cash excess or deficiency in January's cash budget? (3 points) d. What will be in the amount of repayments and interest paid to the bank, if any, that is shown in the March cash budget, provided that no other loans will need to be taken out based on February and March's budgeted cash receipts and cash disbursements? (3 points)