Kevin Manufacturing in preparing to cash budgets for the first 2 months of the upcoming year. The following formation concerns the company's upcoming cash receipts and cash dsbunenet. (Click the loon to view the Information) Requirements Prepare schedules of (w) budgeted cash collections.) budgeted cash payment for purchase, and (c) bugeted cash payments for operating expenses Show amounts for each month and for January and by 2 Prepare a combined cash budget ofranding activity took place, what is the budgeted cash balance on February 2017 Requirement 1a. Prepare a schedule of budgeted cash collections for January and February Cash Collections Budget January February Cash sales) 46500 52500 Creditswes Total cash collections b. Prepare a schedule of budgeted cash payments for purchases for January and February (Leave any unused ank) Cash Payments for Direct Material Purchases Budget January February December purchase Janny purchases February purchases Total payments for direct material purchase valy 201 c. Prepare a schedule of budgeted cash payments for operating expenses for January and February (Leave any unused cells blank.) Cash Payments for Operating Expenses Budget January February Variable cash operating expenses: Sales commissions: December Sales commissions: January Sales commissions: February Total variable cash operating expenses Fixed cash operating expenses: Sales salaries: December Sales salaries: January Sales salaries: February Rent expense Tax expense Total fixed cash operating expenses Total cash payments for operating expenses Requirement 2. Prepare the cash budget for January and February. Combined Cash Budget January I February Cash balance, beginning Cash collections from customers Total cash available Less cash payments: Direct materials purchases Operating expenses Total cash payments Ending cash balance Bal. X Data Table mou a. Sales are 75% cash and 25% credit. Credit sales are collected 20% in the month of sale and the remainder in the month after sale. Actual sales in December were $52,000. Schedules of budgeted sales for the 2 months of the upcoming year are as follows: Budgeted Sales Revenue January $62,000 February $70,000 b. Actual purchases of direct materials in December were $24,500. Kevin's purchases of direct materials in January are budgeted to be $22,000 and $25,500 in February. All purchases are paid 30% in the month of purchase and 70% the following month. c. Salaries and sales commissions are paid half in the month earned and half the next month. Actual salaries were $9,000 in December. Budgeted salaries in January are $10,000 and February budgeted salaries are $11,500. Sales commissions each month are 10% of that month's sales. d. Rent expense is $2,900 per month e. Depreciation is $2,600 per month. f. Estimated income tax payments are made at the end of January. The estimated tax payment is projected to be $13,000. g. The cash balance at the end of the prior year was $22,000. sf Print Done