Que.2. Prepare Cash Budget for the period October, November and December 2021 based on the information given below for ABC Company Month-2021 Sales (OMR) Purchases Wages (OMR) Sales Expenses (OMR) (OMR) August 24,000 80.000 12,000 2,500 September 44000 60,000 10,000 2,600 October 60,000 40.000 8.000 2.000 November 50,000 60.000 6.000 3,000 December 80,000 90.000 8,000 2.000 Additional Information: 1) Cash Balance as on 01-10-2021 is OMR 40.036 2) 50% of the sales are for cash and 50% for credit. The credit sales are realised after two months 3) Purchases: Creditors are paid in the same month of purchase. 4) Wages are paid in the next month. 5) Sales expenses are paid in the same month. 6) Machinery costing OMR 22,000 purchased in October 2021, and paid in December 2021 7) Income from sale of old furniture OMR 15,000 is received in the month of October 2021 8) Fixed expenses per month OMR 200 9) Sold old car for OMR 1,000 in November 2021 and cash is received after 2 months 1. You are required to prepare the cash budget for the company for the period October to December 2021. b. What is the expected amount of cash available on 1" November 2021? OMR_ c. Will there be a necessity for ABC Company to take a bank loan or overdraft? If yes, suggest the company as to how much minimum amount has to be taken as loan or overdraft and in which month it will be required. CASH BUDGET FOR THE PERIOD OCTOBER TO DECEMBER 2021