QUESTION 3 (20 Marks) REQUIRED Use the information provided below to prepare the following for January and February 2024: 3.1 Debtors Collection Schedule (4 marks) 3.2 Cash Budget (16 marks) INFORMATION The following information supplied by Orbit Enterprises: 1. Orbit Enterprises expects to have an unfavourable bank balance of R36 000 on 31 December 2023. 2. Expected sales are as follows: 3. Credit sales account for 60% of the total sales. The rest of the sales is for cash. 4. The amounts owed by debtors are usually collected as follows: - 20% is collected in the same month as the credit sales for a 2% cash discount. - 75% is collected in the month after the sale. 5% is written off as bad debts. 5. Forty percent (40%) of the purchases of inventory will be on credit. Creditors are paid two months after the purchase. The rest of the purchases will be for cash. A cash discount of 10% is expected to be received on 50% of the cash purchases. Purchases have been forecasted as follows: 6. The monthly salary expense of R100 000 is expected to increase by 7% from 01 February 2024. 7. Interest on loan for three months at an interest rate of 15% p.a. on the loan balance of R200 000 will be paid on 31 January 2024. 8. Advertising expenses are paid monthly and are estimated to be a fixed percentage of the total sales of the previous month. The advertising expense for December 2023 is expected to be R16 000 . 9. The proprietor's cash drawings are expected to amount to R24 000 per month. 10. Other cash operating expenses are expected to increase by 5% per month. Cash operating expenses for December 2023 are expected to amount to R40 000