Question 1 (15 marks) Golden Trout Electric has expected sales as shown in the table below. Of the compan are paid for in cash in the month of sale, and 90% on credit Experience has shown that sales are collected in the month after the sale, while the remaining 40% are paid two mon le below. Of the company's sales, 10% redit. Experience has shown that 60% of credit Jan 40,000 Expected Sales Feb Mar 50,000 30,000 Apr 60,000 Part (a): Prepare a cash receipts schedule for March and April: (8 marks) Cash Receipts Schedule Feb 4000 15000 30012_ Jan Mar Apr 0000_ Cash sale Collection 1 month Prior g wonth poles Total sale sale 1600 19700016 Qoo tool 14400 12000 266 00 4400/40900 4000 (Note: Use tempate as necessary to determine total cash receipts for March and April Part (b): (7 marks) Given the cash payments shown in the cash budget schedule to the right, and opening cash balance of $10,000 (which is also the required minimum cash balance), complete the cash budget schedule, including necessary borrowings. Borrowings are to be avoided if possible, Cash Budget Schedule March April Cash receipts 4400 40200 Cash payments 45,000 35,000 Net cash flow (600) 5800 Beginning cash balance 1000 Olloooo Cumulative cash balance 9400 15200 Monthly loan or (repayment) 600 (600 Cumulative loan balance 1600 0 Ending cash balance 100901 14600 (Note: Use the totals from the cash receipts schedule to fill in the first line in the Cash Budget). Page 2 of 3 HRM