Cash Badget

1st Quarter 2nd Quarter 3rd Quarter 4th Quarter $ $ $ $ Opening Cash 10,000 Collection from Customers 125,000 150,000 160,000 221,000 Payments: Payments of materials 20,000 35,000 35,000 54,000 Other Expenses 25,000 20,000 20,000 17,000 Salaries and Wages 90,000 95,000 95,000 109,000 Income tax 5,000 Machinery Purchase 20,000 Additional Information: The company desires to maintain a cash balance of $15,000 at the end of each quarter. Cash can be borrowed or repaid in multiple s of $500 at an interest rate of 10% per year. Management does not want to borrow cash more than what is necessary and want to repay as early as possible.In an any event, loans cannot be extended Beyond a quarter. Interest is computed and paid when principal is paid. Assume borrowing takes place at the beginning and repayment at the end of the quarter. Required: Prepare the cash Budget.