Recent and anticipated sales: Credit and cash sales All credit sales are assumed to be collected in the month following sale. Payments for operating costs are made in the month the cost is incurred. Newport's policy is to maintain an ending inventory equal to Newport has in the paid for all purchases in the month of purchase. Newport's new policy is to pay for: Equipment purchases are expected t be as follows: Assume that Newport wishes to maintain a minimum cash balance at the end of each month: Also assume that any borrowings needed take place at the beginning of a month and that repayments take place at the end of the month. The interest rate on the borrowings is: Required: Prepare Newport's projected income statement and statement of cash flows for the months of October, November and December 2017. Also prepare Newport's projected balance sheet as of December 31, 2017