Question 2 On 31 December 2018, the Itami Wholesale Co. is attempting to project cash receipts and disbursements through 31 January 2019. On this latter date, a note will be payable in the amount of R100 000. This amount was borrowed in September to carry the company through the seasonal peak in November and December Selected General Ledger balances on 1 December 2018 are as follows: Debit Credit Cash R88 000 Inventory R65 200 Accounts payable R136 000 Sales terms call for a 3% discount if payment is made within the first 10 days of the month after sales, with the balance due by the end of the month after sale. Experience has shown that 50% of the billings will be collected within the discount period, 30% by the end of the month after purchase, and 14% in the following month. The remaining 6% will be uncollectable. There are no cash sales. The average selling price of the company's products is R100 per unit. Actual and projected sales are as follows: October actual R280 000 November actual R320 000 December estimated R330 000 January estimated R250 000 February estimated R240 000 Total estimated for year ending 30 June 2019 R2 400 000 All purchases are payable within 15 days. Approximately 60% of the purchases in a month are paid that month, and the rest the following month. The average unit purchase cost is R80 Target ending inventories are 500 units plus 10% of next month's unit sales. Total budgeted marketing, distribution, and customer-service costs for the year are R600 000 of this amount, R120 000 are considered fixed (and include depreciation of R30 000). The remainder varies with sales. Both fixed and variable marketing, distribution and customer service costs are paid as incurred. Required: 2.1 Prepare a cash budget for December 2018 and January 2019. Supply supporting schedules for collections of receivable, payments for merchandise, and marketing, distribution and customer-service costs