Vinegar Berhad had projected its sales for the first half of 2022 to be as follows:

MONTH	RM	MONTH	RM
JANUARY	200,000	APRIL	560,000
FEBRUARY	240,000	MAY	780,000
MARCH	400,000	JUNE	640,000

Cost of goods sold is 50% of sales. Purchases are made and paid for one (1) month prior to

the sale.

40% of sales are collected in the month of the sale, 40% are collected in the month following

the sale, and the remaining 20% in the second month following the sale.

Total other cash expenses are RM20,000 per month. Vinegar Berhad is planning to buy a

machine worth RM50,000 cash in May 2021. The company's cash balance as of 28'n February

2022 is projected to be RM40,000, and the company wants to maintain a minimum cash

balance of RM30,000. Excess cash will be used to retire short-term borrowing (if any exists).

The company has no short-term borrowing as of 28t" February 2022. Assume that the interest

rate on short term borrowing is 1 % per month.

Required:

Prepare a monthly cash budget for the months of March, April, and May 2022. (12 Marks)