The company sells the mowers for 1,250 each. Unit sales in the next four months are forecasted as follows:

Table 2: forecasted unit sales for the next four months

No. of Mowers

April 400

May 600

June 600

July 300

1 Cumberland allows one month's credit to 50% of its customers. The remainder of their customers pay immediately in cash.

2 Receivables at the beginning of April will be 187,500 (representing the credit sales of March).

3 The company's stock policy is to ensure that the inventory at the end of each month will be sufficient to cover the next month's sales. For example, the inventory at the end of March was 400 Mowers that are required to cover the sales in April.

4 The lawnmowers cost Cumberland 850 each. The company takes one month's credit on these purchases.

5 All other costs are 170,000 per month and all payments are made during the month in which they arise. These overheads include depreciation of 12,000 per month.

6 The company is planning to buy and pay for a new delivery vehicle costing 65,000in June.

7 The bank balance at the beginning of April is expected to be 10,000 credit.

Prepare detailed monthly budgets for the three months, April, May, and June, as follows:

i)An Inventory budget (expressed in number of mowers)

ii)A Receivables budget (in )

iii)A Cash budget (expressed in ).