The accountant for Adamss Dress Shop prepared the following cash budget. Adamss desires to maintain a cash cushion of $15,000 at the end of each month. Funds are assumed to be borrowed and repaid on the last day of each month. Interest is charged at the rate of 3 percent per month.

Required

1. Complete the cash budget by filling in the missing amounts.

2. Determine the amount of net cash flows from operating activities Adamss will report on the third quarter pro forma statement of cash flows.

3. Determine the amount of net cash flows from financing activities Adamss will report on the third quarter pro forma statement of cash flows.

Complete this question by entering your answers in the tabs below.

Complete the cash budget by filling in the missing amounts. (Any shortages or repayments should be indicated with a minus sign. Round your answers to the nearest whole dollar amount.)

Cash Budget	July	August	September
Section 1: Cash receipts
Beginning cash balance	$43,000	$15,000	$15,000
Add cash receipts	181,000	201,000	241,600
Total cash available	224,000	216,000	256,600
Section 2: Cash payments
For inventory purchases	166,026	140,730	174,652
For S&A expenses	55,000	61,060	61,932
For interest expense	0
Total budgeted disbursements	221,026
Section 3: Financing activities
Surplus (shortage)	2,974
Borrowing (repayments)	12,026
Ending cash balance	$15,000	$15,000	$15,000

• Req B and C

Determine the amount of net cash flows from both operating and financing activities Adams's will report on the third quarter pro forma statement of cash flows. (Round intermediate calculations and final answers to the nearest whole dollar amount.)

b.	Net cash (operating activities)
c.	Net cash (financing activities)