Rita Inc. expects to have the following during the first quarter. January 45,000 February 35,000 175,000 March 55,000 Sales in Units Sale of Property Total 135,000 175,000 The January 1 cash balance is $124,500 the ending cash balance for each month should be at least 20% of the next rhonth's projected cash disbursements. The projected cash disbursements for April are $755,000. Rita's product sells for $12.50 per unit. Material cost is $3.60 per unit, labor cost is $4.75 per unit, and fixed costs are $245,000. Rita can borrow from the bank in multiples of $5,000 at an interest rate of 6.5%. January 1 Cash Balance 124,500 % for Ending Cash Balance 20% April Cash Needs 755,000 Selling Price per Unit 12.50 Material Cost per Unit 3.60 Labor Cost per Unit 4.75 Fixed Costs 245,000 Prepare a cash budget for the first quarter. Rita Inc. Cash Budget For the First Quarter January February March Total