What conclusions can you draw about Martinez's business from this cash budget?

What suggestions can you make to help Martinez improve his company's cash flow?

The Pessimistic cash budget of the company (Figures are in $)
Months	July	August	September	October	November	December	January	February	March
Cash Receipts:
Pessimistic	$ 18,750.00	$ 19,200.00	$ 17,840.00	$ 15,000.00	$ 14,000.00	$ 11,200.00	$ 9,900.00	$ 10,500.00	$ 13,500.00
Cash sales	$ 5,438.00	$ 5,568.00	$ 5,174.00	$ 4,350.00	$ 4,060.00	$ 3,248.00	$ 2,871.00	$ 3,045.00	$ 3,915.00
Credit sales	$ 13,313.00	$ 13,632.00	$ 12,666.00	$ 10,650.00	$ 9,940.00	$ 7,952.00	$ 7,029.00	$ 7,455.00	$ 9,585.00
Collections:
68% in the same month	$ 9,053.00	$ 9,270.00	$ 8,613.00	$ 7,242.00	$ 6,759.00	$ 5,407.00	$ 4,780.00	$ 5,069.00	$ 6,518.00
19% in the next month		$ 2,529.00	$ 2,590.00	$ 2,407.00	$ 2,024.00	$ 1,889.00	$ 1,511.00	$ 1,336.00	$ 1,416.00
7% in the second month			$ 932.00	$ 954.00	$ 887.00	$ 746.00	$ 696.00	$ 557.00	$ 492.00
Total cash receipts	$ 14,490.00	$ 17,367.00	$ 17,309.00	$ 14,953.00	$ 13,729.00	$ 11,289.00	$ 9,857.00	$ 10,007.00	$ 12,341.00
Cash disbursement:
Cost of inventory (63%)		$ 11,813.00	$ 12,096.00	$ 11,239.00	$ 9,450.00	$ 8,820.00	$ 7,056.00	$ 6,237.00	$ 6,615.00
Wages and salaries				$ 2,050.00	$ 1,825.00	$ 1,725.00	$ 1,725.00	$ 1,950.00	$ 2,425.00
Tax payment due						$ 1,400.00
Utilities expanses	$ 800.00	$ 800.00	$ 800.00	$ 800.00	$ 800.00	$ 800.00	$ 800.00	$ 800.00	$ 800.00
Rent	$ 1,200.00	$ 1,200.00	$ 1,200.00	$ 1,200.00	$ 1,200.00	$ 1,200.00	$ 1,200.00	$ 1,200.00	$ 1,200.00
Truck loan	$ 317.00	$ 317.00	$ 317.00	$ 317.00	$ 317.00	$ 317.00	$ 317.00	$ 317.00	$ 317.00
Insurance premium		$ 1,200.00						$ 1,200.00
Office supplies	$ 95.00	$ 95.00	$ 95.00	$ 95.00	$ 95.00	$ 95.00	$ 95.00	$ 95.00	$ 95.00
Maintenance	$ 75.00	$ 75.00	$ 75.00	$ 75.00	$ 75.00	$ 75.00	$ 75.00	$ 75.00	$ 75.00
Computer supplies	$ 75.00	$ 75.00	$ 75.00	$ 75.00	$ 75.00	$ 75.00	$ 75.00	$ 75.00	$ 75.00
Advertising	$ 550.00	$ 550.00	$ 550.00	$ 550.00	$ 550.00	$ 550.00	$ 550.00	$ 550.00	$ 550.00
Legal and Accounting fees	$ 250.00	$ 250.00	$ 250.00	$ 250.00	$ 250.00	$ 250.00	$ 250.00	$ 250.00	$ 250.00
Miscellaneous Expanses	$ 60.00	$ 60.00	$ 60.00	$ 60.00	$ 60.00	$ 60.00	$ 60.00	$ 60.00	$ 60.00
Total cash disbursement	$ 3,422.00	$ 16,435.00	$ 15,518.00	$ 16,711.00	$ 14,697.00	$ 15,367.00	$ 12,203.00	$ 12,809.00	$ 12,462.00
End of the month balance
Beginning cash balance	$ 8,750.00	$ 19,818.00	$ 20,751.00	$ 22,541.00	$ 20,783.00	$ 19,815.00	$ 15,738.00	$ 13,392.00	$ 10,590.00
Add: Cash receipt	$ 14,490.00	$ 17,367.00	$ 17,309.00	$ 14,953.00	$ 13,729.00	$ 11,289.00	$ 9,857.00	$ 10,007.00	$ 12,341.00
Less: Cash disbursement	$ 3,422.00	$ 16,435.00	$ 15,518.00	$ 16,711.00	$ 14,697.00	$ 15,367.00	$ 12,203.00	$ 12,809.00	$ 12,462.00
Cash Surplus	$ 19,818.00	$ 20,751.00	$ 22,541.00	$ 20,783.00	$ 19,815.00	$ 15,738.00	$ 13,392.00	$ 10,590.00	$ 10,469.00
The pessimistic cash budget of the company (Figures are in $)
Months	July	August	September	October	November	December	January	February	March
Cash Receipts:
Pessimistic	$ 18,750.00	$ 19,200.00	$ 17,840.00	$ 15,000.00	$ 14,000.00	$ 11,200.00	$ 9,900.00	$ 10,500.00	$ 13,500.00
Cash sales	$ 5,438.00	$ 5,568.00	$ 5,174.00	$ 4,350.00	$ 4,060.00	$ 3,248.00	$ 2,871.00	$ 3,045.00	$ 3,915.00
Credit sales	$ 13,313.00	$ 13,632.00	$ 12,666.00	$ 10,650.00	$ 9,940.00	$ 7,952.00	$ 7,029.00	$ 7,455.00	$ 9,585.00
Collections:
68% in the same month	$ 9,053.00	$ 9,270.00	$ 8,613.00	$ 7,242.00	$ 6,759.00	$ 5,407.00	$ 4,780.00	$ 5,069.00	$ 6,518.00
19% in the next month		$ 2,529.00	$ 2,590.00	$ 2,407.00	$ 2,024.00	$ 1,889.00	$ 1,511.00	$ 1,336.00	$ 1,416.00
7% in the second month			$ 932.00	$ 954.00	$ 887.00	$ 746.00	$ 696.00	$ 557.00	$ 492.00
Total cash receipts	$ 14,490.00	$ 17,367.00	$ 17,309.00	$ 14,953.00	$ 13,729.00	$ 11,289.00	$ 9,857.00	$ 10,007.00	$ 12,341.00
Cash disbursement:
Cost of inventory (63%)		$ 11,813.00	$ 12,096.00	$ 11,239.00	$ 9,450.00	$ 8,820.00	$ 7,056.00	$ 6,237.00	$ 6,615.00
Wages and salaries				$ 2,050.00	$ 1,825.00	$ 1,725.00	$ 1,725.00	$ 1,950.00	$ 2,425.00
Tax payment due						$ 1,400.00
Utilities expanses	$ 800.00	$ 800.00	$ 800.00	$ 800.00	$ 800.00	$ 800.00	$ 800.00	$ 800.00	$ 800.00
Rent	$ 1,200.00	$ 1,200.00	$ 1,200.00	$ 1,200.00	$ 1,200.00	$ 1,200.00	$ 1,200.00	$ 1,200.00	$ 1,200.00
Truck loan	$ 317.00	$ 317.00	$ 317.00	$ 317.00	$ 317.00	$ 317.00	$ 317.00	$ 317.00	$ 317.00
Insurance premium		$ 1,200.00						$ 1,200.00
Office supplies	$ 95.00	$ 95.00	$ 95.00	$ 95.00	$ 95.00	$ 95.00	$ 95.00	$ 95.00	$ 95.00
Maintenance	$ 75.00	$ 75.00	$ 75.00	$ 75.00	$ 75.00	$ 75.00	$ 75.00	$ 75.00	$ 75.00
Computer supplies	$ 75.00	$ 75.00	$ 75.00	$ 75.00	$ 75.00	$ 75.00	$ 75.00	$ 75.00	$ 75.00
Advertising	$ 550.00	$ 550.00	$ 550.00	$ 550.00	$ 550.00	$ 550.00	$ 550.00	$ 550.00	$ 550.00
Legal and Accounting fees	$ 250.00	$ 250.00	$ 250.00	$ 250.00	$ 250.00	$ 250.00	$ 250.00	$ 250.00	$ 250.00
Miscellaneous Expanses	$ 60.00	$ 60.00	$ 60.00	$ 60.00	$ 60.00	$ 60.00	$ 60.00	$ 60.00	$ 60.00
Total cash disbursement	$ 3,422.00	$ 16,435.00	$ 15,518.00	$ 16,711.00	$ 14,697.00	$ 15,367.00	$ 12,203.00	$ 12,809.00	$ 12,462.00
End of the month balance
Beginning cash balance	$ 8,750.00	$ 19,818.00	$ 20,751.00	$ 22,541.00	$ 20,783.00	$ 19,815.00	$ 15,738.00	$ 13,392.00	$ 10,590.00
Add: Cash receipt	$ 14,490.00	$ 17,367.00	$ 17,309.00	$ 14,953.00	$ 13,729.00	$ 11,289.00	$ 9,857.00	$ 10,007.00	$ 12,341.00
Less: Cash disbursement	$ 3,422.00	$ 16,435.00	$ 15,518.00	$ 16,711.00	$ 14,697.00	$ 15,367.00	$ 12,203.00	$ 12,809.00	$ 12,462.00
Cash Surplus	$ 19,818.00	$ 20,751.00	$ 22,541.00	$ 20,783.00	$ 19,815.00	$ 15,738.00	$ 13,392.00	$ 10,590.00	$ 10,469.00