Solid property inc which owns several multifamily properties wants you to prepare the cash budget for April, May and June (second quarter)for fiscal year 2021.

Rental Income 200 units at $800 per unit. 90% of rent is collected each month while the balance and late collection fee are collected in the following month. Late collection fee of 2.5% is applied on the balance. All the units will be fully occupied/rented out in April, in May the occupancy rate will be 95%. Management intends to carry out major renovations in two of its properties in June which will affect 12 units. Notices have been sent to tenants in the two properties to vacate the residence by May 31 in order to do the renovation in June. The units that were vacant in May will still remain unoccupied in June.

Cash generated from coin-operated washers and dryers and laundry supplies per month -$18000

Mortgage payments made each month -$120000

Purchase of laundry supplies and maintenance expense for each month is shown below:

Laundry supplies

April $5000

May $4200

June $3800

Maintenance expense

April $17000

May $ 15000

June $ 12000

The laundry supplies are paid for each month. 50% of maintenance expense is paid for each month while the balance is paid a month after.

Marketing and advertising expense paid for each month -$3500

Salaries paid to workers each month -$12000

Maintenance expense incurred each month -$17000

Insurance expense for the third quarter paid in June -$9000

Cost of renovations to be done and paid for in June

Roof replacement $30000, Hvac purchase $15000, Flooring $6500, Windows and new appliance $15000

Total=$66500

The company haS A cash balance as of April 1st 2020 $450000 which is the minimum cash balance that the company wants to maintain.

Question: prepare a cash budget for April, May and June 2021 showing the surplus/deficit for each month