Flannel and Flounder Ltd's overheads and other expenses for six months to 30 June 2005 are budgeted as follows. 

1. Purchases are paid for in the following month. 

2. Wages of $4000 per month are paid in the same month as they are earned. 

3. Staff are paid a bonus equal to 4% of the amount by which monthly sales exceed $20 000. The bonus is paid in the month following that in which it is earned. 

4. Electricity bills are expected to be received in January 2005, for $2400, and in April for $1800. The bills will be paid in the month following their receipt. 

5. Other expenses are expected to amount to $6000 per month. From April 2005 they are expected to increase by 10%. They are paid in the month they are incurred. 

6. Flannel and Flounder Ltd have a loan of $20 000 on which interest at 10% is payable in four quarterly instalments on 31 March, 30 June, 30 September and 31 December.

7. The company will purchase a machine in May 2005 for $15 000. 

8. A final dividend of $4000 for the year ended 31 December 2004 will be paid in April 2005. 

Required 

Prepare Flannel and Flounder Ltd's expenditure budget for the six months ending 30 June 2005. Save your answer; it will be needed later.