You recently began a job as an accounting intern at Outdoor 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 pro- gram 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.
Outdoor Adventures eliminates any cash deficiency by borrowing the exact amount needed from Caisse Populaire, where the current interest rate is 8%. Outdoor 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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OUTDOOR ADVENTURES LTD. Cash Budget February and March February March S 16,900 S Beginning cash halance Cash collections Cash from sale of plant assets Cash available Cash payments: 79,600 1,800 106,900 Purchase of inventory Operating expenses $41,000 47,200 98,000 Total payments 25,100 20,000 (1) Ending cash balance hefore financing Minimum cash balance desired Cash excess (deficiency) Financing of cash deficiency: 20,000 Borrowing (at end of month) Principal repayments (at end of month) Interest expense (2) Total effects of financing Ending cash balance (1)+ (2)