XYZ Inc. provided the following information for the month of May 2023:

Cash balance on May 1: $12,000

Receipts:

• Cash Sales: $22,000
• Collection from Accounts Receivable: $10,000
• Interest Received: $1,000

Payments:

• Salaries: $9,000
• Rent: $3,500
• Utilities: $1,500
• Inventory Purchase: $7,000

Requirements:

1. Create a table summarizing the cash receipts for May 2023.
2. Create a table summarizing the cash payments for May 2023.
3. Prepare the cash budget for May 2023.
4. Determine the cash balance as of May 31, 2023.
5. Discuss the effect of inventory purchase on the overall cash balance.