Pet Transport Company makes two pet carriers, the Cat-allac and the Dog-eriffic. They are both made of plastic with metal doors, but the Cat-allac is smaller. The assumptions and is given in the following tables: (Click the icon to view the assumptions.) Required 1. Prepare a cash budget for April for Pet Transport (Click the icon to view budget information.) 2. Why do Pet Transport's managers prepare a cash budget in addition to the revenue, expenses, and operating income budget? Requirement 1. Prepare a cash budget for April for Pet Transport Begin the cash budget by calculating the cash available, then total disbursements, and the ending cash balance. Ignor the effects of financing. (Round your answers to the nearest deficiency or a negative cash balance.) Cash balance, beginning Add receipts Cash Budget April 30. Total cash available for needs Deduct disbursements Revenue Budget For the Month of April Selling price Total Revenues Manufacturing Overhead Budget For the Month of April Units Machine setup costs Cat-allac 580 $ 190 $ 110,200 Processing costs 55,900 Dog-eriffic 215 260 Inspection costs $ 166,100 9,100 59,000 480 68,580 Total Total Direct Manufacturing Labour Costs Budget For the Month of April Nonmanufacturing Costs Budget Output units DMLH per Total produced unit Hours Hourly Wage Rate For the Month of April Total Salaries $ 18,500 Cat-allac 600 3 1,800 $ 14 $ 25,200 Other fixed costs 16,000 14,000 Dog-eriffic 200 5 1,000 14 1,661 Sales commissions $ 39,200 Total $ 36,161 Total nonmanufacturing costs Assumptions . Pet Transport (PT) does not make any sales on credit. PT sells only to the public and accepts cash and credit cards; 90% of its sales are to customers using credit cards, for which PT gets the cash right away, less a 2% transaction fee. Purchases of materials are on account. PT pays for half the purchases in the period of the purchase and the other half in the following period. At the end of March, PT owes suppliers $8,200. During April they plan to purchase direct materials worth $12,965. PT plans to replace a machine in April at a net cash cost of $13,400. Labour, other manufacturing costs, and nonmanufacturing costs are paid in cash in the month incurred except of course depreciation, which is not a cash flow. Depreciation is $20,500 of the manufacturing cost and $10,500 of the nonmanufacturing (fixed) cost for April. PT currently has a $2,600 loan at an annual interest rate of 24%. The interest is paid at the end of each month. If PT has more than $7,000 cash at the end of April it will pay back the loan. PT owes $5,800 in income taxes that need to be remitted in April. PT has cash of $5,600 on hand at the end of March