Kayak Company budgeted the following cash receipts $($excluding cash receipts from loans

received$)$ and cash payments $($excluding cash payments for loan principal and interest

payments$)$ for the first three months of next year.

Kayak requires a minimum cash balance of $$40,000$ at each month$-$end. Loans taken to

meet this requirement charge $1\%,$ interest per month, paid at each month$-$end. The

interest is computed based on the beginning balance of the loan for the month. Any

preliminary cash balance above $$40,000$ is used to repay loans at month$-$end. The

company has a cash balance of $$40,000$ and a loan balance of $$80,000$ at January $1.$

Prepare monthly cash budgets for January, February, and March. $($Negative balances and

Loan repayment amounts $($if any$)$ should be indicated with minus sign.$)$