Use the information given below to prepare the Cash Budget for March, April and May 2022. (Provide separate monetary columns for each month.)INFORMATIONThe following forecasts have been made by Mentos Limited in respect of Project Z February to May 2022:

QUESTION 1 (20 Marks) REQUIRED Use the Information given below to prepare the Cash Budget for March, April and May 2022. (Provide separate monetary columns for each month.) INFORMATION The following forecasts have been made by Mentos Limited in respect of Project 2 for February to May 2022: 1. The project manager anticipates the following sales volumes at a price of R200 per unit from the product produced from Project 2: m Sixty percent (60%) of the sales are for cash and the rest is on credit. Debtors pay their accounts one month after the sale ls made. 2. The unit costs of production Include the following: Direct materials R60 per unit Direct labour R50 per unit 3. The purchases manager expects to purchase direct materials to manufacture the following quantities of the product each month: 4. Seventy percent (70%) of the direct materials purchased is for cash and the balance is on credit. Creditors are paid In the month after the purchase. 5. Direct labour costs are incurred In line with the number of units produced and are paid for in the month in which they were incurred. 6. Variable overheads are estimated at R25 per unit. Fixed overheads are budgeted at R96 000 per month. excluding R14000 for depreciation. Overheads are payable In the month in which they are incurred. 7. The production manager intends to purchase additional machinery with a cost price of R150 000 on 31 March 2022 on credit. A deposit of 20% is payable on the date of purchase and the balance of the debt is payable in six equal monthly Instalments, commencing April 2022. 8. On 31 May 2022, 596 of the total sales for May 2022 will be transferred Into a fixed deposit account. 9. Leasing payments cost R86 400 per annum and is payable monthly. 10. An unfavourable bank balance of R30 000 is expected on 28 February 2022