Need help. Below is assignment with instructions. Need help with grey highlighted section.

1. Cash muudget 1. Here is the section of the budget project you should follow: "The cash management goal is to keep the cash balance above $15,000 at the end of each quarte The company will utilize the line of credit at 2% of annual interest up to $4,000,000 to meet the c balance target. Assume that the borrowing occurs at the end of the quarter. Interest payments c at the end of the quarter." Here is the approach you can follow for the first and the second quarter. Borrowing happens at the end of the quarter (end of Q2-2023), so there should be no accrued interest from the borrowing for Q2-2023. The interest will accrue over the Q3-2023 for the ending balance of the line of credit for Q2-2023. All of the accrued interest should be paid up at the end of Q3-2023 because the company is using the line of credit (interest should be paid up at every quarter in this example). The quarterly interest rate (0.05%) should be multiplied to the ending balance of the line of credit as of Q2-2023. The resulting interest expense should be the same as the interest payment for Q3-2023. After paying up the accrued interest, the company need to borrow to keep the ending cash balance of $15,000. The borrowing amount for the end of Q3-2023 should be Minimum cash balance + interest payment - Cash balance before financing, because the company will heed to borrow to make the quarterly interest payment. 2. Another item you should change Is the budgeted sales in unit for 2 quarter after the end of the pudget year. tem 3: "PLOS Limited expects the contracted sales for Q2 and Q3 of the year 2024 would be identical o the previous year." Q2-2024 and Q3-2024 sales should be identical to Q2-2023 and Q3-2023, respectively. Item 8. Cash Management and Debt Financing The cash management goal is to keep the cash balance above $15,000 at the end of each quarte The company will utilize the line of credit at 2% of annual interest up to $4,000,000 to meet cash balance target. Assume that the borrowing occurs at the end of the quarter. Interest payments occur at the end of the quarter