Use the information given below to answer the following questions: 3.1Prepare the Cash Budget for January, February and March 2022. (22 marks) (3 marks) 3.2Comment on the cash position of the company for the budgeted period. marks) INFORMATION 1. Some of the items in the Statement of Financial Position as at 31 December 2021 of Lomax Ltd are ae fallinure 2. The following forecasts have been made by Lomax Ltd for the first three months of 2022 for the bricks that it produces which are sold in pallets (with each pallet comprising 500 bricks): 2.1 The sales manager anticipates the following credit sales: The bricks are sold at a constant price of R500 per pallet. Ten percent (10\%) of the sales are for cash and the rest is on credit. Debtors pay their accounts one month after the sale is made. 2.2 2.3 The purchases manager expects to purchase materials to manufacture the following number of No inventories of materials are held at the end of each month. 2.4 Sixty percent (60%) of the materials are purchased for cash in order to take advantage of a 5% discount and the balance is purchased on credit. Creditors are paid in the month after the purchase. 2.5 Direct labour costs are incurred in line with production and will be paid during the month in which they are incurred. 2.6 Variable manufacturing overheads are payable in the month in which they are incurred. 2.7 Fixed manufacturing and non-manufacturing costs are expected to amount to R550 000 per month, excluding depreciation of R75 000 per month. These costs are payable in the month in which they are incurred. 2.8 The sales commission of 6% is payable in the month in which it is incurred. 2.9 Additional administration costs of R40 per unit sold are payable in the month in which they are incurred. 2.10 The company will invest 10% of the total sales for March in a notice deposit account on 31 March 2022. 2.11 The balance of the current liabilities as at 31 December 2021 will be settled during January 2022