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Company has prepared the following schedules and additional information:

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(Click the icon to view the additional information.) Complete a cash budget for

Marcel

Company for

January,

February

and

March.

(Complete all input fields. Enter a "0" for any zero balances. Round all amounts entered into the cash budget to the nearest whole dollar. Enter a cash deficiency with a minus sign or parentheses.)

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Part 1

Marcel Company

Cash Budget

January, February, and March

		January
Beginning cash balance		8000
Cash receipts
Cash available
Cash payments:
Purchases of direct materials
Direct labor
Manufacturing overhead
Selling and administrative expenses
Interest expense
Total cash payments
Ending cash balance before financing
Minimum cash balance desired
Projected cash excess (deficiency)
Financing:
Borrowing
Principal repayments
Total effects of financing
Ending cash balance

		January	February	March	Total
Cash Payments
Direct Materials:
Accounts Payable balance, January 1		$0
JanuaryDirect material purchases paid in February			$3,400
FebruaryDirect material purchases paid in March				$4,500
Total payments for direct materials		0	3,400	4,500	$7,900
Direct Labor:
Total payments for direct labor		3,000	3,900	3,900	10,800

Manufacturing Overhead:
Utilities for plant			640	640	1,280
Property taxes on plant		3,000			3,000
Total payments for manufacturing overhead		3,000	640	640	4,280
Selling and Administrative Expenses:
Utilities for office			450	450	900
Property taxes on office		1,200			1,200
Office salaries		4,500	4,500	4,500	13,500
Total payments for Selling and Admin. expenses		5,700	4,950	4,950	15,600
Total cash payments		$11,700	$12,890	$13,990	$38,580

Acccount balances, March 31:
Prepaid Property Taxes		$3,150
Accounts Payable		$4,000
Utilities Payable		$1,090

beginning cash balance is

$8,000

and

Marcel

desires to maintain a minimum ending cash balance of

$8,000.

Marcel

borrows cash as needed at the beginning of each month in increments of $1,000 and repays the amounts borrowed in increments of $1,000 at the beginning of months when excess cash is available. The interest rate on amounts borrowed is

16%

per year. Interest is paid at the beginning of the month on the outstanding balance from the previous month.pop-up content ends

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Cash Receipts from Customers
		January	February	March	Total
Total sales		$14,300	$11,600	$10,400	$36,300
		January	February	March	Total
Cash Receipts from Customers:
Accounts Receivable balance, January 1
JanuaryCash sales		$8,580
JanuaryCredit sales, collection of January sales in January		2,860
JanuaryCredit sales, collection of January sales in February			$2,860
FebruaryCash sales			6,960
FebruaryCredit sales, collection of February sales in February			2,320
FebruaryCredit sales, collection of February sales in March				$2,320
MarchCash sales				6,240
MarchCredit sales, collection of March sales in March				2,080
Total cash receipts from customers		$11,440	$12,140	$10,640	$34,220
Accounts Receivable balance, March 31:
MarchCredit sales, collection of March sales in April		$2,080

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