WXYZ is preparing for the first half of the next year. The following information was available: a. Sales - 15% of monthly sales are in cash while the balance is sold on credit. Collections from receivables are 50% in the first month after sales, 30% in the second month and the balance in the third month after sales. b. Purchases are usually 55% of sales and paid in the month of purchase. c. Insurance company is expected to pay the sum of RM525,000 in the month of February based on the company's accidented vehicles, N d. Salary deductions are paid on preceding month basis. e. Company income tax of RM475,550 will be paid in the month of March 1. Cash and Cash equivalent balance as at December is RM502,760.00. g. Bank Charges is 1% of total payment for the month. h. Additional Information is as follows: October November December January February March RM RM RM RM RM RM Sales 750,000 600,000 850,000 520,000 670,000 800,000 Net Salaries 230,000 200.000 250,000 210,000 240,000 270,000 Other Expenses 200,000 187,500 197,500 177,200 187,500 192,700 Salaries Deductions 29.400 28,400 39,400 28.700 32.750 27,650 Required: Prepare the cash budget for the first three months of the year. (15 marks) Add a comment to help your tutor better understand your