Prepare a cash budget for Atlas Products, Inc., for the first quarter of 2017, based on the following information: The budgeting section of the corporate finance department of Atlas Products has received the following sales estimates from the marketing department: Total Sales Credit Sales December 2016 $825,000 $770,000 January 2017 730,000 690,000 February 2017 840,000 780,000 March 2017 920,000 855,000 The company has found that, on average, about 25 percent of its credit sales are collected during the month when the sale is made, and the remaining 75 percent of credit sales are collected during the month following the sale. As a result, the company uses these figures for budgeting. The company estimates its purchases at 60 percent of next month's sales, and payments for those purchases are budgeted to lag the purchases by one month. Various disbursements have been estimated as follows: January February March Wages and salaries $250,000 $290,000 $290,000 27,000 27,000 27,000 Other expenses 10,000 12,000 14,000 In addition, a tax payment of $105,000 is due on January 15, and $40,000 in dividends will be declared in January and paid in March. Also, the company has ordered a $75,000 piece of equipment. Delivery is scheduled for early January, and payment will be due in February. The company's projected cash balance at the beginning of January is $100,000, and the company desires to maintain a balance of $100,000 at the end of each month. Rent Prepare a cash budget for Atlas Products, Inc., for the first quarter of 2017, based on the following information: The budgeting section of the corporate finance department of Atlas Products has received the following sales estimates from the marketing department: Total Sales Credit Sales December 2016 $825,000 $770,000 January 2017 730,000 690,000 February 2017 840,000 780,000 March 2017 920,000 855,000 The company has found that, on average, about 25 percent of its credit sales are collected during the month when the sale is made, and the remaining 75 percent of credit sales are collected during the month following the sale. As a result, the company uses these figures for budgeting. The company estimates its purchases at 60 percent of next month's sales, and payments for those purchases are budgeted to lag the purchases by one month. Various disbursements have been estimated as follows: January February March Wages and salaries $250,000 $290,000 $290,000 27,000 27,000 27,000 Other expenses 10,000 12,000 14,000 In addition, a tax payment of $105,000 is due on January 15, and $40,000 in dividends will be declared in January and paid in March. Also, the company has ordered a $75,000 piece of equipment. Delivery is scheduled for early January, and payment will be due in February. The company's projected cash balance at the beginning of January is $100,000, and the company desires to maintain a balance of $100,000 at the end of each month. Rent