Question 2 The balance sheet of Stament Company on December 31, 2021, is as follows: Cash $25,600 Accounts receivable (net of allowance for doubtful accounts of $6,400) 121,600 Inventory 51,200 Fixed assets (net of accumulated amortization of $192,000) 128,000 Total assets $326,400 Accounts payable (for inventory purchases) $264,000 Common shares 40,000 Retained earnings 22,400 Total liabilities and shareholders' equity $326,400 Projected sales are $352,000 for January and $384,000 for February. The gross profit percentage is 25 percent. Cash collections for accounts receivable are estimated to be 50 percent during the month of sale, and 48 percent during the following month. The remaining 2 percent are uncollectible. Purchases of inventory each month are 75 percent of the next month's projected sales and are paid in full during the following month. Amortization is $16,000 per month. Other expenses, $52,800 per month, are paid in cash during the month in which they are incurred. Required: Prepare a cash budget and budgeted income statement for January 2022.