Zahra Sdn. Bhd. is preparing monthly cash budgets for the month of October and November 2023. The following data are available from the records of the company.

	RM	RM
Month	October	November
Sales	650,000	550,000
Raw materials purchase	215,000	230,000
Direct labour	85,000	90,000
Manufacturing overhead costs	90,000	100,000
Selling and administrative expenses	100,000	120,000

The company has the following business policies:

1. Collections from customers are expected to be 45% of the sales in the month of sale and 55% in the month following the sale.
2. The company pays cash for 60% of the raw materials purchases in the month of purchase and the balance is due in the month following the purchase.
3. All other items besides these two are paid in the month they are incurred.

Other pertinent data are as follows:

1. Sales: September 2023: RM 500,000
2. Purchase of raw materials: September 2023: RM 195,000.
3. Other receipts:

October : Commission received : RM 7,000

November: Proceeds from the disposal of used equipment RM 11,000.

1. Other payments:

October: Debt repaid: RM 40,000

November : Purchase of machinery: RM80,000

Annual medical insurance: RM80,000

The company's cash balance on 1st October 2023 is expected to be RM105,000. The company wants to maintan a minimum cash balance of RM100,000. The company will borrow if necessary.

Prepare the following:

a.

A schedule of cash collections from customers

b.

A schedule of cash payments for direct material purchases

c.

A cash budget for the month of October and November 2023.