Dan Beene, chief financial officer of Tampa Wireless, is responsible for the company€™s budgeting process. Beene€™s staff is preparing the Tampa cash budget for 2015. A key input to the budgeting process is last year€™s statement of cash flows, which follows (amount in thousands):

Requirements
1. Prepare the Tampa Wireless cash budget for 2015. Date the budget simply €œ2015,€ and denote the beginning and ending cash balances as €œbeginning€ and €œending.€ Assume the company expects 2015 to be the same as 2014, but with the following changes:
a. In 2015, the company expects a 25% increase in collections from customers and a 24% increase in purchases of inventory.
b. There will be no sales of investments in 2015.
c. Tampa Wireless plans to issue no stock in 2015.
d. Tampa Wireless plans to end the year with a cash balance of$4,750.

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A1 Tampa Wireless Statement of Cash Flows For the Year Ended December 31, 2014 (In thousands) Cash Flows from Operating Activities $66,000 100 Collections from customers Interest received Cash payments for inventory Cash payments for operating expenses (50,000) 8 Net cash provided by operating activities Cash Flows from Investing Activities Purchases of equipment 11 Purchases of investments 4,800 400) 400 12 Sales of investments 1 Net cash used for investing activities Cash Flows from Financing Activities 1ssuance of stock 8 Net cash provided by financing activities 15 Payment of long-term debt 600) 1500 700 (1,400 Payment of cash dividends Cash 20I Increase (decrease) in Cash 1Cash, beginning of year Cash, end of year 2,900 1,500