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Kayak Co. budgeted the following cash receipts (excluding cash receipts from loans received) and cash disbursements (excluding cash disbursements for loan principal and interest payments)

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Kayak Co. budgeted the following cash receipts (excluding cash receipts from loans received) and cash disbursements (excluding cash disbursements for loan principal and interest payments) for the first three months of next year. Cash January $522,000 $467700 February 407000 March 459,000 Receipts Disbursements 352,700 522,000 es According to a credit agreement with the company's bank, Kayak promises to have a minimum cash balance of $40,000 at each month-end. In return, the bank has agreed that the company can borrow up to $150,000 at an annual interest rate of 12%, paid on the last day of each month. The interest is computed. based on the beginning balance of the loan for the month. The company repays loan principal with available cash on the last day of each month. The company has a cash balance of $40,000 and a loan balance of $80,000 at January 1 According to a credit agreement with the company's bank, Kayak promises to have a minimum cash balance of $40,000 at each month-end. In return, the bank has agreed that the company can borrow up to $150,000 at an annual interest rate of 12%, paid on the last day of each month. The interest is computed. based on the beginning balance of the loan for the month. The company repays loan principal with available cash on the last day of each month. The company has a cash balance of $40,000 and a loan balance of $80,000 at January 1. Prepare monthly cash budgets for each of the first three months of next year. (Negative balances and Loan repayment amounts (if any) should be indicated with minus signs.) KAYAK COMPANY Cash Budget For January, February, and March es January February March Beginning cash balance 40,000 Total cash available Prev 3 of 4 Naxt KAYAK COMPANY Cash Budget For January, February, and March January February March Beginning cash balance 40,000 Total cash available Preliminary cash balance Ending cash balance Loan balance Loan balance- Beginning of month S Additional loan (loan repayment) Loan balance- End of month

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