Prepare a cash budget for Lance Company for the month of August of this year. The following information about the company's operations are as follows: a. The ending cash balance for July was $25,000. b. Actual sales for July were $300,000 and estimated sales for August are $400,000. C. 20% of July's sales were cash and the same is expected for August. Accounts receivable collection pattern is to receive 30% in the same month of the sale and 70% is received in the month following the sale. d. Purchase of inventory for July was $180,000 and for August it is estimated to be $200,000. Purchases are paid in cash in the month of purchase. e. Selling and administrative expenses are expected to be 170,000 which includes $10,000 in depreciation expense. f. Dividends in July were $10,000 and will be paid in August. g. The company must maintain a cash balance of 25,000 and has ready access for short term loans to finance cash deficiencies. Required: 1. Prepare a schedule of cash collected for the budgeted month. (5 Marks) 2. Prepare a cash budget, including borrowings if needed for the month. (10 Marks)