(1) Manufacturing overhead costs include variable overhead and fixed overhead expenses are estimated to be the same as the estimation in the initial budget. 50% of fixed overhead expenses is depreciation. Cash MOH expenses are paid as incurred.

(2) Direct labour costs are estimated based on updated budgeted production and standard direct labour hour, at the updated rate of $20 per hour. Direct labour cost are paid as incurred.

(3) Selling expenses include a fixed component of $3,500 each month plus a commission of 2% of any amount of sales that exceed 80,000 buckets per month. All selling expenses are paid as incurred.

(4) Admin salaries are totalled at $48,000 per year, paid monthly as incurred.

(5) In November, purchase of office furniture totalled $1,200.

(6) Payment of interest for a $100,000 bank loan with 6% annual interest rate.

Requirement 1: Prepare cash receipt schedule forDecember 2020 (2.5 marks)

Requirement 2: Prepare cash disbursement schedule forDecember 2020

Requirement 3: Prepare cash balance as at 31st December 2020, given the cash balance as at 30th November is expected to be $124,000 (1 mark)