Question 2 (Total 60 marks) BRADFORD Ltd is starting up a new business on 1 January 20X0 and has provided you with the following information: Quarterly Utilities (payment due in March & June) Cash outlay on equipment (payable in February) 12,000 150,000 Monthly planned purchases of stock for re-sale are: January 30,000 February 34,000 March 45,000 April to June (per month) 12,000 All stock is bought on two month's credit Monthly planned sales are: January February March April May June All sales are on one month's credit. 5% discount will be given to customers for sales above 40,000 if payment done on the same month. Customers are normally happy to take discounts when available. 25,000 65,000 35,000 60,000 35,000 38,000