Newman Medical Clinic has budgeted the following cash flows. January February March Cash receipts $ 111,000 $117,000 $137,000 Cash payments For inventory 95,500 77,500 90,500 purchases For S&A expenses 36,500 37,500 32,500 on Newman Medical had a cash balance of $13,500 on January 1. The company desires to maintain a cash cushion of $10,000. Funds are assumed to be borrowed, in increments of $1,000, and repaid on the last day of each month; the interest rate is 3 percent per month. Repayments may be made in any amount available. Newman pays its vendors 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 year's quarterly results. Required Prepare a cash budget. (Any repayments/shortage should be indicated with a minus sign. Round your answers to the nearest whole dollar amount.) March 10,530 January February $ 13,500 $ 10,300 $ 111,000 117,000 124,500 127,300 137,000 147.530 Cash Budget Beginning cash balance Add: Cash receipt Cash available Less: Cash payments For S&A expenses For inventory purchases Interest expense per month 36,500 95,500 1,200 37,500 77,500 1,770 32,500 90,500 133,200 116.770 123.000 (8,700) 10,530 24,530 Total budgeted payments Payments minus receipts Surplus (shortage) Financing Activity Borrowing (repayment) Ending cash balance 19,000 10,300 $ $ 10,530 $ 24,530