Prepare a cash budget by month and in total for the three-month period from the following information: a) On January 1, the cash balance will be TK 70,000/-. Accounts receivable on January 1 will total TK 770,000/- of which TK 360,000/- will be collected during January, 320,000/- will be collected during February, and the rest amount will be collected during March. b) 25% of a month's sales will be collected in the month of sale, 50% will be collected in the month following the sale, and the rest 25% will be collected in the second month following the sale. Budgeted sales are as follows: January February March Sales TK 20,00,000/- TK 30,00,000/ TK 40,00,000/- c) 25% of the merchandise purchases will be paid during the month of purchase and the rest 75% will be paid during the month following the purchases. Accounts payable for merchandise purchases on December 31 TK 70,000/- will be paid during January. Merchandise purchases are budgeted as follows: January February March Merchandise TK TK TK 12,00,000/- purchases 6,00,000/- 8,00,000/ d) Operating expenses for January, February, and March will be TK 100,000/-, 120,000/-, and TK 140,000/- respectively and these will be paid in cash during the month. e) TK 40,000/- will be paid for purchasing furniture in January and during March TK 20,000/- will be paid for financial expenses and TK 50,000/- will be paid as dividend.

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