SECTION B Based on the following information, answer questions 10 to 16 in this section. (Show your workings clearly in tabular format, and round the figures to one decimal place, if applicable) B Resort has forecasted the following budgeted figures for the second-half of 2021 Month Cash Revenue Credit Revenue Total Revenue July $36,200 $55,000 $91,200 August 37,000 58,500 95,500 September 38,000 61,200 99,200 October 39,500 63,000 102,500 November 41.000 64,500 105,500 December 42.500 65.800 108,300 Collections on credit revenue average 70% in a month later and 30% after two months. The cost of sales is 35% of the total sales revenue 30% of the purchases is on a cash basis, 70% is on credit and will be paid in the month following the purchases. Other budgeted expenses are shown below: Expenses October November December Salaries and wages S22,000 $22.000 $22,000 Insurance 1,500 1,500 1,500 Utilities 12,450 13.550 13.800 Miscellaneous 7,500 7,800 9,200 Depreciation 6,900 6,900 6,900 Interest 1,500 1,500 1.500 Note that the salaries and wages, utilities, miscellaneous and interest expenses are paid in cash each month as they are incurred. The insurance expense of $18,000 is paid in October each year in advance for the whole year. The resort financed its furniture and equipment from bank and makes monthly repayments of $4,830. 10. What is budgeting? (4 marks) 11. What is the use of a cash budget? (4 marks) 12. What will be shown in a cash budget statement? (4 marks) 13. What financial statement(s) will "depreciation" appear in? (6 marks) 14. How will "depreciation" be treated in the financial statement(s) mentioned in your answer of question 132 (6 marks) 15. Will "depreciation" be appeared in the cash budget? Please explain. (4 marks) 16. Prepare B Resort's cash budget for the months of October, November and December. The ending cash balance on 30 September 2021 is estimated to be 57.200. (20 marks)