You recently began a job as an accounting intern at Rocky Adventures. Your first task was to help prepare the cash budget for February and March. Unfortunately, the computer with the budget file crashed, and you did not have a backup or even a hard copy. You ran a program to salvage bits of data from the budget file. After entering the following data in the budget, you may have just enough information to reconstruct the budget.
Rocky Adventures eliminates any cash deficiency by borrowing the exact amount needed from State Street Bank, where the current interest rate is 6%. Rocky Adventures pays interest on its outstanding debt at the end of each month. The company also repays all borrowed amounts at the end of the month, as cash becomes available.
Requirement
Complete the following cash budget:

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Rocky Adventures Cash Budget February and March February March Beginning cash balance Cash collections Cash from sale of plant assets Cash available Cash payments: 16,400S 79,600 2,100 0 $106,500 Purchase of inventory Operating expenses Total payments 41,400 47,300 S 97,900 (1) Ending cash balance before financing 25,000 (20,000)(20,000) Minimum cash balance desired Cash excess (deficiency) Financing of cash defici ciency: Borrowing (at end of month) Principal repayments (at end of month) Interest expense (2) Total effects of financing Ending cash balance (1) + (2)