The management accountant at Genus Manufacturing Company, Karen Cranston, is in the

process of preparing the cash budget for the business for the second quarter of $2020.$ Extracts

from the sales and purchases budgets are as follows:

i$)$ An analysis of the records shows that trade receivables $($accounts receivable$)$ are

settled according to the following credit pattern, in accordance with the credit terms

$5/30,$ n$90$:

$50\%$ in the month of sale

$30\%$ in the first month following the sale

$20\%$ in the second month following the sale

ii$)$ Accounts payable are settled as follows:

$60\%$ in the month in which the inventory is purchased

$40\%$ in the following month

The credit terms of the suppliers $-4/30,n60.$

iii$)$ Computer Equipment costing $$280,000$ will be purchased and paid for in June $2020.$

iv$)$ During June, the management of Genus Manufacturing Company expects to sell an old

motor vehicle that cost $$500,000$ at a gain of $$60,000.$ Accumulated depreciation on this

motor vehicle at that time is expected to be $$360,000.$ The employee will be allowed to

pay a deposit equal to $65\%$ of the selling price in June and the balance settled in two

equal amounts in July & August of $2020.$