Question 2 Danner Company expects to have a cash balance of $52,965 on January 1, 2017. Relevant monthly budget data for the first 2 months of 2017 are as follows. Collections from customers: January $100,045, February $176,550. Payments for direct materials: January $58,850, February $88,275. Direct labor: January $35,310, February $52,965. Wages are paid in the month they are incurred. Manufacturing overhead: January $24,717, February $29,425. These costs include depreciation of $1,765 per month. All other overhead costs are paid as incurred. Selling and administrative expenses: January $17,655, February $23,540. These costs are exclusive of depreciation. They are paid as incurred. Sales of marketable securities in January are expected to realize $14,124 in cash. Danner Company has a line of credit at a local bank that enables it to borrow up to $29,425. The company wants to maintain a minimum monthly cash balance of $23,540. Prepare a cash budget for January and February. (Do not leave any answer field blank. Enter "O" for the amounts.) DANNER COMPANY Cash Budget February 28, 2017 January February Beginning Cash Balance 52965 32267 $ $ Add Receipts Collections from Customers Sale of Marketable Securities Total Receipts ch I ENG 5:10 PM 12/12/2020 2 DANNER COMPANY Cash Budget February 28, 2017 January February Beginning Cash Balance 52965 32267 $ $ Add Receipts Collections from Customers Sale of Marketable Securities Total Receipts Total Available Cash Less Disbursements Selling and Administrative Expenses Manufacturing Overhead Total Disbursements ch TI