You have a small business engaged in the retail sale of ladies and gentlemen's fashions. An accounting year-end is 31st December, and it is now 1st January 2022. Information included on the Statement of Financial Position at 31st December 2021 was as follows:

Trade receivables (due to be received in January 2022)	7000
Trade receivables (due to be received in February 2022)	9000
Trade payables (due to be paid in January 2022)	3000
Closing inventories	7000
Cash at bank	37800
Share capital	16000
Retained profits/losses brought forward	36900
Dividend payable (due to be paid in January 2022)	2300
Taxation payable (due to be paid in January 2022)	600
Shop fixtures and fittings at cost	20000
Depreciation on shop fixtures and fittings	10000
Long-term loan	12000

The shop fixtures and fittings are depreciated on a 25% straight-line basis and there is no scrap value.

You are preparing a business plan for the following three months from January to March 2022. The plan will include a Cash Flow forecast, a forecast Income Statement and a forecast Statement of Financial Position. You predict the following:

• You rent out office space to another local business and receive 360 per month.
• Your motor vehicle running expenses will total 450 per month and are payable in the month in which they are incurred.
• Other expenses will be 2100 a month payable in the month in which they occur.
• You are going to buy a delivery van for the business in January at a cost of 21000 for cash. You will depreciate the van on a 20% straight-line basis. The scrap value of the van is expected to be 4000 at the end of its useful economic life.
• The tax charge for the three months to 31st March 2022 will be 14831 but this will not be paid until May 2022.
• A dividend of 940 was proposed to cover the three months, January to March 2022 but this will not be paid until April 2022.
• Interest on the bank loan is expected to be 60 a month.
• Closing inventory at 31st March 2022 is expected to be 6100.

Question 1 You predict that sales for January 2022 are expected to be 40000 increasing by 20% in February 2022 and by a further 8% in March 2022. Also, only 80% of your customers pay cash and the remaining 20% are given 2 month credit. Fill in the following table (Sales Working 1). All numbers must be entered as whole numbers. Enter "O" in a cell if, in any month, there are no sales. The same applies to cash sales receipts, credit sales receipts and trade receivables b/f. Sales W1 ('s) Jan Feb March Total Total Sales Cash sales receipts Credit sales receipts Trade receivables b/f Total cash receipts Question 2 In addition to the above information, you predict that purchases are expected to be 40% of sales and that you take on average 1 month credit from your suppliers. Fill in the following table (Purchases Working 2). All numbers must be entered as whole numbers. Enter "O" in a cell if, in any month, there are no credit purchases payments. The same applies to trade payables b/f. Purchases W2 ('s) Jan Feb March Total Total Purchases Credit purchases payments Trade payables b/f Total cash paid