Northern

Auto Parts, a family-owned auto parts store, began

January

with

$10,600

cash. Management forecasts that collections from credit customers will be

$11,200

in

January

and

$14,900

in

February.

The store is scheduled to receive

$8,500

cash on a business note receivable in

January.

Projected cash payments include inventory purchases

($16,400

in

January

and

$13,100

in

February)

and selling and administrative expenses

($2,900

each month).