Munoz Medical Clinic has budgeted the following cash flows:

Munoz Medical had a cash balance of $13,000 on January 1. The company desires to maintain a cash cushion of $9,000. Funds are assumed to be borrowed, in increments of $1,000, and repaid on the last day of each month; the interest rate is 2 percent per month. Repayments may be made in any amount available. Munoz pays its vendors on the last day of the month also. The company had a monthly $40,000 beginning balance in its line of credit liability account from this years quarterly results.

Required

Prepare a cash budget. (Round intermediate and final answers to the nearest whole dollar amounts. Any repayments/shortage should be indicated with a minus sign. )

January FebruaryMarch Cash receipts Cash payments $110,000 $116,000 $136,000 For inventory purchases For S&A expenses 90,000 36,000 37,000 32,000 95,00077,000