Sports for Success is a not for profit organization that provides programming for young people. It is expanding with a new sports building. They want to start a bit of the construction before they go out and collect money for the building. They have yet to hire a new controller and asked for volunteers to help them get through the next few months. You volunteer. It is critical to be sure the organization can pay bills and salaries on time. Sports for Success gives you the expected cash receipts, cash disbursements and expense information below: October November December $10,000 $20,000 $25,000 Monthly cash receipts from membership Cash disbursement for salaries Cash disbursement for miscellaneous expenses Depreciation on equipment Construction expenses $7,500 $3,000 $7,500 $5,000 $10,000 $15,000 $2,000 $24,000 $2,000 $10,000 $2,000 $7,500 Knowing your background, the Treasurer asks you to prepare a cash budget. Sports for Success has an open line of credit with the bank with the following restrictions: They must maintain a minimum balance of $10,000. All borrowing is done at the beginning of a month and all repayments are made at the end of a month. Borrowings and repayments of principal must be in multiples of $1,000 100% of Pledges are collected. Interest is paid only at the time of repayment of principal. The annual interest rate is 12% (figure interest on whole months (e.g. 1/12 for one month, 3/12 for three months.) or $300) On September 30, Sports for Success has a cash balance of $12.000 and has yet to borrow on its line of credit. The line of credit has a limit of $100,000. Complete the following using EXCEL 1. Complete a Cash Budget in good form determining how much money you will need to borrow and when. Indicate how much you need to borrow 2. Revise your cash budget assuming a donor will give $50,000 in December to kick off the capital campaign. Indicate how much you need to borrow October November December Cash Budget Beginning Cash Balance Monthly Cash Receipts Other Cash Receipts Total Cash Available Disbursements Salaries Misc. Construction Total Disbursements Excess (Deficiency) of Cash Financing Borrowing Repayment Interest Total Financing Ending Cash Balance