The following information shows the expected sales and cash disbursement for Delicious Sea

Products for November and December $2020$ and the first quarter of $2021.$

Nov $2020$ Dec $2020$ Jan $2021$ Feb $2021$ Mac $2021$

Sales $25,00020,00030,00035,00025,000$

Materials purchase $10,0008,00012,00015,0009,000$

Other cash expenses

Salaries and wages $7,0007,0007,0007,0007,000$

Rent and utilities $8,0008,0008,0008,0008,000$

Misc. expenses $6,00012,50012,70012,1006,300$

Additional info:

$1.$ The company expect to collect $60\%$ of their sales in month of sales, $20\%$ in the first

month after the sales and $20\%$ in the second month after the sale.

$2.$ The company usually pay for $70\%$ of their material purchase in the month of purchase

and the remaining $30\%$ in the following month.

$3.$ The company has decided to maintain a minimum cash balance of RM$20,000.$ The

company has an open line of credit available from local bank which charges interest rate

of $7\mathrm{.}5\%$ per year. Cash on hand at $1$ January $2021$ is RM$25,000$ and there are no loans.

Required: Prepare a cash budget for the first quarter of $2021.$The following information shows the expected sales and cash disbursement for Delicious Sea

Products for November and December $2020$ and the first quarter of $2021.$

Additional info:

The company expect to collect $60\%$ of their sales in month of sales, $20\%$ in the first

month after the sales and $20\%$ in the second month after the sale.

The company usually pay for $70\%$ of their material purchase in the month of purchase

and the remaining $30\%$ in the following month.

The company has decided to maintain a minimum cash balance of RM$20,000.$ The

company has an open line of credit available from local bank which charges interest rate

of $7\mathrm{.}5\%$ per year. Cash on hand at $1$ January $2021$ is RM$25,000$ and there are no loans.

Required: Prepare a cash budget for the first quarter of $2021.$