QUESTION 4 (18 marks) Last Dish CC is a business that manufactures plastic products used mainly by the bottling industry. The management accountant has prepared the sales budgets for the last 6 months of 20.21 and these are presented to you below: Month Total sales July R 750 000 August R 600 000 September R 430 000 October R 700 000 November R 625 000 December R 550 000 Cash sales amount to 40% of the total sales. Collections of the credit sales are expected to be as follows: 6 50% in the month of the sale and these are subject to a 5% discount 0 30% one month after the month of the sale 15% two months after the month of the sale and the remainder is considered uncollectible and is written off as bad debt. Addition Information: Last Dish CC's inventory requirements are equal to 40% of the next month's sales value. January 20.22's total sales are expected to be R 780 000. The purchases' terms of payment require a down payment (deposit) of 50% with the balance being payable 30 days thereafter. Last Dish CC had a bank overdraft of R 220 000 on 1 November 20.21.