Sandhill Company expects to have a cash balance of $119,600 on January 1, 2025. These are the relevant monthly budget data for the first two months of 2025. 1. Collections from customers: January $184,600 and February $379,600. 2. Payments to suppliers: January $104,000 and February $195,000. 3. 4. 5. 6. Wages: January $78,000 and February $104,000. Wages are paid in the month they are incurred. Administrative expenses: January $54,600 and February $62,400. These costs include depreciation of $2,600 per month. All other costs are paid as incurred. Selling expenses: January $39,000 and February $52,000. These costs are exclusive of depreciation. They are paid as incurred. Sales of short-term investments in January are expected to realize $31,200 in cash. Sandhill has a line of credit at a local bank that enables it to borrow up to $65,000. The company wants to maintain a minimum monthly cash balance of $52,000.