The information given below has been made available by Bayer Retailers to assist in the preparation of a cash budget for three months of 2018. REQUIRED Prepare the following for February, March and April 2018: 4.1 Debtors Collection Schedule (6 marks) 4.2 Cash Budget. (14 marks) Note: Where applicable, round off amounts to the nearest Rand. Use separate amount columns for each month. INFORMATION 1. The sales forecasts for the first 4 months of 2018 are as follows: January R450 000 February R520 000 March R540 000 April R680 000 2. For each month 40% of the sales are for cash and 60% are on credit. 3. Payment for 40% of the credit sales is received in the month of the sale and these debtors are entitled to a 5% cash discount. The balance is collected in the month after the sale. 4. Expected inventory purchases are as follows: January R260 000 February R280 000 March R290 000 April R380 000 Inventory purchases are paid for in the month after the purchase. 5. Recurring monthly expenses, including depreciation of R25 000, are expected to amount to R205 000 and are payable in the month in which they are incurred. 6. Bayer Retailers expects to invest each month 10% of the monthly sales value of the current month in an investment account. 7. The annual property rates will be paid on 01 March 2018 and rates are calculated at 1% on the value of the property. The property is valued at R2 500 000. 8. Bayer Retailers expects to have a favourable bank balance of R50 000 on 31 January 2018.