$($ Where from$/$how calculated is the cash balance ending for the first quarter? $)$

Cash Budget

For the Year Ended December $31,2024$

$1$st Qtr$.2$nd Qtr$.3$rd Qtr$.4$th Qtr$.$ Year

Cash balance, beginning $0$ $$20,000$ $$20,000$ $$20,0000$

Add receipts:

Collections on account $$225,000$ $$399,750$ $$443,723$ $$492,532$ $$1,561,004$

Total cash available $$225,000$ $$419,750$ $$463,723$ $$512,532$ $$1,561,004$

Less disbursements:

Direct Materials $$162,999$ $$239,096$ $$231,731$ $$257,221$ $$891,047$

Direct labor $$27,495$ $$25,524$ $$28,332$ $$31,449$ $$112,800$

Manufacturing overhead $$47,762$ $$45,923$ $$48,543$ $$51,452$ $$193,680$

Selling and administrative $$138,250$ $$139,488$ $$140,861$ $$142,386$ $$560,984$

Income taxes $$(3,101)$ $$(576)$ $$3,163$ $$7,314$ $$6,800$

Capital purchases $$35,000$ $$-$ $$-$ $$-$ $$35,000$

Dividends $00000$

Total disbursements $$408,406$ $$449,455$ $$452,630$ $$489,821$ $$1,800,312$

Excess $($deficiency$)$ of cash $$(183,406)$ $$(29,705)$ $$11,092$ $$22,711$ $$(239,308)$

Financing:

Borrowings $$-$ $$-$ $$-$ $$-$ $$-$

Repayments $$-$ $$-$ $$-$ $$-$ $$-$

Interest $00000$

Contributions from owners $($stock sales$)$ $$203,406$ $$49,705$ $$8,9080$ $$262,018$

Total financing $$203,406$ $$49,705$ $$8,908$ $$-$ $$262,018$

Cash balance, ending $$20,000$ $$20,000$ $$20,000$ $$22,711$ $$22,711$

Assumptions: The company intends to maintain a minimum cash balance of $$20,000\mathrm{.}00$

Owners will contribute amounts necessary to maintain the ending minimum cash balance through stock purchases when needed.

No other financing transactions including dividend payments will occur in the first year.