Trek Company expects to have a cash balance of $140,000 on January 1, 2018. Relevant monthly budget data for the first 3 months of 2018 are as follows: Collections from customers: January $246,500, February $435,000. Payments for direct materials: January $155,000, February $240,000 Direct labor: January $90,000, February $125,000. Wages are paid in the month they are incurred. Manufacturing overhead: January $63,000, February $75,000. These costs include depreciation of $5,000 per month. All other overhead costs are paid as incurred. Selling and administrative expenses: January $45,000, February $60,000. These costs are exclusive of depreciation. They are paid as incurred. Sales of marketable securities in January are expected to realize $36,000 in cash. Martin Company has a line of credit at the local bank that enables it to borrow up to $75,000. The company wants March information has been budgeted as follows: .Collections from customers: $375,000 to maintain a minimum monthly cash balance of $60,000. Payments for direct materials: $206,000 .Direct labor: Wages paid in March $116,000 .Manufacturing overhead: $64,500. This includes the monthly depreciation of $5,000. .Selling and administrative expenses: $51,600. This cost is exclusive of depreciation. Marketable securities of $50,000 can be sold if needed for additional cash. Instructions a-Prepare a cash budget for January, February and March 2018. b-Assume the company cashes the Securities before it borrows money