The controller of CU Company presented the following data for preparing the : cash budget for the first quarter of 2016 : Actual and projected sales -1 December January February March LE 500000 LE 500000 LE 400000 LE 400000 Sales are 90% on credit and 10% on cash . Credit sales are collected 80% in the same month of salse and 20% in the following month . Bad debts are negligible and . can be ignored Payments to suppliers for goods purchased are calculated and summarized as -2 follows : January LE 420000; February LE 240000 and March LE 235000 3- Salaries , wages and commissions averages 20% of sales , all other variable expenses are 5% of sales . All variable expenses require cash disbursements each month . 4-Other monthly operating expenses are as follows : -. Rent LE 15000 paid as incurred .Depreciation LE 5000 - 5-Equipment costing LE 20000 will be purchased and paid for cash in January 2016 6- Dividends previously declared will be paid in March 2016 , LE 26000. 7-The minimum cash balance at the end of each month is LE 25000. 8- Cash balance at December 31, 2015 will be LE 25000. 9- All borrowing are effective at the beginning of the month and all repayments are made at the end of the month . Management wants to minimize borrowing and repay rapidly . Money can be borrowed and repaid in multiple of 1000 at annual interest rate 12% . Interest is paid only at time of repaying - in full or in part principals of loans . Required: Prepare the cash budget for the first quarter of year 2016 by month as well as for the quarter in total, after preparing the necessary supporting schedules of cash collections and disbursements.