Preparation of cash budget. Sam and Suzy Sizeman need to prepare a cash budget for the last quarter of 2020 to make sure they can cover their expenditures during the period. Sam and Suzy have been preparing budgets for the past several years and have been able to identify the percentage of their income that they pay for most of for their cash outflows. These percentages are based on their take-home pay (e.g., monthly utilities normally run 4.7% of monthly take-home pay). The information here can be used to create their fourth-quarter budget for 2020. a. Prepare a quarterly cash budget for Sam and Suzy covering the months October through December 2020. b. Are there individual months that incur a deficit? c. What is the cumulative cash surplus or deficit by the end of December 2020? Sam and Suzy Sizeman Personal Budget for the Period October-December 2020 October Income Take-home pay Expenses Housing Utilities Food Transportation Medical/Dental Percent 30.1% $ 4.7% $ 9.8% $ 6.8% $ 0.4% $ 2.7% $ 11.7% $ 1.4% $ 2.3% $ 5.9% $ Clothing Property taxes Appliances Personal care Entertainment Preparation of cash budget. Sam and Suzy Sizeman need to prepare a cash budget for the last quarter of 2020 to make sure they can cover their expenditures during the period. Sam and Suzy have been preparing budgets for the past several years and have been able to identify the percentage of their income that they pay for most of for their cash outflows. These percentages are based on their take-home pay (e.g., monthly utilities normally run 4.7% of monthly take-home pay). The information here can be used to create their fourth-quarter budget for 2020. a. Prepare a quarterly cash budget for Sam and Suzy covering the months October through December 2020. b. Are there individual months that incur a deficit? c. What is the cumulative cash surplus or deficit by the end of December 2020? Sam and Suzy Sizeman Personal Budget for the Period October-December 2020 October Income Take-home pay Expenses Housing Utilities Food Transportation Medical/Dental Percent 30.1% $ 4.7% $ 9.8% $ 6.8% $ 0.4% $ 2.7% $ 11.7% $ 1.4% $ 2.3% $ 5.9% $ Clothing Property taxes Appliances Personal care Entertainment