Triple-F Health Club (Family, Fitness, and Fun) is a not-for-profit, family-oriented health club. The club's board of directors is developing plans to acquire more equipment and expand club facilities. The board plans to purchase about $26,000 of new equipment each year and wants to establish a fund to purchase the adjoining property in four or five years. The adjoining property has a market value of about $301,000. The club manager, Jane Crowe, is concerned that the board has unrealistic goals in light of the club's recent financial performance. She has sought the help of a club member with an accounting background to assist her in preparing a report to the board supporting her concerns. The member reviewed the club's records, including this cash-basis income statement: 2019 $309.05 183.00 1.50 $493.55 TRIPLE-F HEALTH CLUB Income Statement (Cash Basis) For Years Ended October 31 (in thousands) 2020 Cash revenues: Annual membership fees $ 355.00 Lesson and class fees 237.90 Miscellaneous 2.00 Total cash revenues $ 594.90 Cash expenses: Manager's salary and benefits $36.20 Regular employees' wages and benefits 191.00 Lesson and class employees' wages and benefits 196.30 Towels and supplies 16.00 Utilities (heat and light) 22.00 Mortgage interest 35.10 Miscellaneous 2.00 Total cash expenditures $ 498.60 Increase in cash $ 96.30 $ 36.20 191.00 151.00 15.50 15.00 37.80 1.50 $448.00 $ 45.55 Other financial information as of October 31, 2020: Cash in checking account, $8,000. Petty cash, $500. Outstanding mortgage balance, $352,000. Accounts payable arising from invoices for supplies and utilities that are unpaid as of October 31, 2020, and due in November 2020, $2,700. No other unpaid bills existed on October 31, 2020. The club purchased $26,000 worth of exercise equipment during the current fiscal year. Cash of $12,000 was paid on delivery, with the balance due on October 1. This amount had not been paid as of October 31, 2020. An additional $26,000 (cash) of equipment purchases is planned for the coming year. The club began operations in 2016 in rental quarters. In October 2016, it purchased its current property (land and The club began operations in 2016 in rental quarters. In October 2016, it purchased its current property (and and building) for $600,000, paying $120,000 down and agreeing to pay $32,000 plus 9% interest annually on the unpaid loan balance each November 1, starting November 1, 2017. Membership rose 3% in 2020. The club has experienced approximately this same annual growth rate since it opened and this rate is expected to continue in the future. Membership fees increased by 15% in 2020. The board has tentative plans to increase these fees by 10% in 2021. Lesson and class fees have not been increased for 3 years. The board policy is to encourage classes and lessons by keeping the fees low. The members have taken advantage of this policy, and the number of classes and lessons has increased significantly each year. The club expects the percentage growth experienced in 2020 to be repeated in 2021. Miscellaneous revenues are expected to grow at the same rate as in 2020. Operating expenses expected to increase: Hourly wage rates and the manager's salary: 15%. Towels and supplies, utilities, and miscellaneous expenses: 25%. Required: 1. Prepare a cash budget for 2021 for the Triple-F Health Club. (Round your "Growth" column answers to 2 decimal places and your remaining answers to nearest whole dollar or percentage amount.) TRIPLE-F HEALTH CLUB Cash Budget For the Year Ending October 31, 2021 2000 Growth Price Increase 2021 Operating Cash Inflows: Total Operating Cash Inflows Operating Cash Outflows: Required information increase Operating Cash Inflows: Total Operating Cash Inflows Operating Cash Outflows: % 0 Total Operating Cash Outflows Net Operating Cash Flow s | $ $ ol $ Non-Operating Cash Outflows: Total Non-Operating Cash Outflow Net Cash Flow Budgeted Ending Cash Balance