Jan Feb Mar Aor May Jun Jul Opening cash balance 219.000.00 1.038.012.50 956.325.00 960.137.50 1 158.450.00 1.466.762.50 1,796,575.00 ...j... Cash collection :40% of sales collected on the same month( example: 300000 in Jan is 40% of A....... Cash Sales 300,000.00 ............ 600,000.00 120,000.00 140,000.00 240.000.00 320.000.00 ; 308.000.00 220,000.00 75 750000 for Jan cash sales 60% of the sales collected on the next month(example: 450000 in Feb is 60% AR payments 450,000.00 900,000.00 180,000.00 210,000.00 360,000.00 480,000.00 462,000.00 of 750000 for collection of AR in Jan sales Cash inflow 300,000.00 1,050,000.00; 1,020,000.00 320,000.00 ; 450,000.00 680,000.00 788.000.00 682,000.00 Cash Payments 1% of next months sales value but paid 2 months after (example: Purchases paid in March are for January purchases. Basis is Feb sales of 1500000 times Purchases 1,050,000.00 ...... 231,000.00 154,000.00 264,000.00 352,000.00 308,000.00 70%) Salaries 40,000.00 150,000.00 45,000.00 60,000.00 60,000.00 60,000.00 60,000.00 60,000.00 paid on same month Rental 3.500.00 3 500.00 5.000.00 5,000.00 5,000.00 5,000.00 5.000.00 5,000.00 \\ paid on same month Commission 37.500.00 75,000.00 15,000.00 17,500.00 30,000.00 10,000.00 38,500.00 27,500.00 \\paid on same month (5% of sales value. Example: for Jan, 750000*.05) Utilities 2,300.00 2,000.00 2,500.00 2,500.00 2,500.00 2,500.00 2,500.00 paid the next month Machine Acquisition 4,500.00 10% of 45000 down payment for Machine Acquisition Cash outflow 81,000.00 230,800.00 1,121,500.00 316,000.00 251,500.00 371,500.00 458,000.00 403,000.00 Net Cash Balance 219,000.00 1,038,200.00 936,512.50 960,325.00 1,158,637.50 1,466,950.00 1,796,762.50 2,075,575.00 . Financing Additional Investment 20,000.00 Interest Charge 187.50 187.50 187.50 187.50 187.50 187.50 187.50 1.5% of 12500 of bank overdraft Ending Cash Balance 219,000.00 1,038,012.50 956,325.00 960,137.50 1,158,450.00 1,466,762.50 1,796,575.00 2,075,387.50 ...... volume 50.000.00 100,000.00 30.000.00 35,000.00 60,000.00 80,000.00 70.000.00 50.000.00 SP 15.00 15.00 10.00 10.00 10.00 10.00 11.00 11.00 ........... .............. Sale Value 750.000.00 1500.000.00 300.000.00 350.000.00 600.000.00 1 800.000.00 770.000.00 550.000.00 Normal SP 15.00 15.00 11.00 11.00 11.00 11.00 11.00 11.00 Normal Sales Value 750,000.00 1,500,000.00 330,000.00 385,000.00 660,000.00 880,000.00 770,000.00 550,000.00Following are the budgeted financial information for year 2022 for Magna Sdn Bhd: 2022 Jan Feb Mar Apr May Jun Ju Aug Sep Sales volume (units) 50,000 100,000 30.000 35.000 60,000 30,000 70,000 50,000 50,000 Selling price per unit (RM) 15 15 10 10 10 10 11 11 11 Salaries (RM) 40,000 150.000 15,000 60.000 60,000 $0.000 60,000 30.000 0,000 Rental (RM) 3,500 3,500 5,000 5,000 5,000 5,000 5,000 5,000 5,000 Sales Commission (RM) % of sales Utilities (RM 2,300 2,000 2,500 2,500 2,500 2,500 2,500 2,500 2,500 Additional information is given below: 1. 40% of the total sales is on cash basis 2. 60% of the total sales is on credit basis and which is paid at the end of next month. 3. Monthly purchases details: January to February - Purchases are 70% of the next month's normal sales value and are paid two months following the month of purchase. From March onward - Purchases are 40% of the next month's normal sales value and are paid two months following the month of purchase. The monthly normal selling price details given as below: Month Normal unit selling price Before March 2022 RM15/unit From March 2022 onward RM1 1/unit 1. All expenses are paid at the end of the month except for utilities. Utilities will be paid in the following month end. 5. A 10% down payment of RM45,000 will be paid in the month end of March 2022 for acquisition of a new machine. The machine lifespan is 4 years. The machine is depreciated based on straight line method. All brought forward assets are fully depreciated. 6. Additional investment of RM20,000 in the business is to be made on 31 March 2022. 7. As at end of February 2022, there is a credit bank balance of RM12,500 as shown in the book. 8. The bank overdraft interest charges is 1.5% per month. 9. The business keeps RM52,000 opening stocks in March 2022 and RM60,000 closing stocks in August 2022