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. January February March Cash Receipts $ 524,000 402,000 454,000 Cash payments $ 467,500 345,500 531,000 Kayak requires a minimum cash balance of $40,000 at each month-end. The company can borrow money at a monthly interest rate of 1%, paid on the last day of each month. 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.) KAYAK COMPANY March Beginning cash balance Add: Cash receipts Cash Budget January February $ 40,000 $ 40,000 524,000 402,000 564,000 442,000 454,000 Total cash available 467,500 345,500 531,000 800 0 468,300 345,500 531,000 Total cash payments Preliminary cash balance Loan activity Additional loan (loan repayment) Ending cash balance $ 40,000 40,000 Loan balance $ $ 80,000 $ 0 Loan balance - Beginning of month Additional loan (loan repayment) Loan balance, end of month $ 0