Question 4: (12 points) B3,C2 Redmond Company needs a cash budget for year of 2021. The following information is available: 1. The cash balance on first quarter is $50,000 2. Purchases for the whole year are ($16,000), ($27,000). ($27,000) and ($17,000) respectively. 3. Cash collections from sales are: Quartier Quarter 2 Quarter 3 Quarter Cash Sales 20,000 12.300 12,100 34.200 Credit Sales 11.000 12.300 13.000 11.500 Sales 4. The company receives 80% of the credit sales in the same quarter and 20% in the next quarter. 5. Selling and Administrative expenses budgeted are as follow: Quarter 1 Quarter 2 Quarter 3 Quarter 4 10,000,000 1,000,000 6. The Company receives an interest revenue at the end of year totaled S10,000. 7. The Company sells equipment on first quarter at $6,000 cash. 8. The company maintains a minimum ending cash balance of $40,000 and can borrow from the bank. All loans are repaid after 60 days. Required: Prepare cash budget for Redmond Company for the year of 2021. Answer Statement Quarter 1234