Question 1 The opening cash balance on 1 January was expected to be GHS 30,000. The budgeted sales were as follows. November 80,000 December 90,000 January 75,000 February 75,000 March 80,000 Analysis of records shows that trade receivables settle according to the following pattern: 60% within the month of sales 25% the month following 15% the month following Extract from the purchases budget were as follows. December 60,000 January 55,000 February 45,000 March 55,000 All purchases are on credit and past experience shows that 90% are settled in the month of purchase and the balance settle the month after. Wages are GHS 25,000 per month and overheads of GHS20,000 per month (including GHS 5,000 depreciation) are settled monthly Taxation of GHS 8,000 has to be settled in February and the company will receive settlement of an insurance claim of GHS25,000 in March. Required: Prepare the i. receivables collection schedule ii. payables payment schedule iii. cash budget for January, February and March