d$.$ Mr$.$ Suncat is concerned about cash flow and has requested that you prepare a Cash Collections Schedule, a Cash Payments Schedule, and a Cash Budget for the first two months of the year using the following information:

$$ Cash collections for Suncat Cake Shop are $65\%$ of sales in the month of sale, $20\%$ collected in the month after the sale, and $15\%$ collected in the second month after the sale.

$$ Suncat Cake Shop pays $70\%$ of its purchases of direct materials in the month of sale, and $30\%$ in the month after the purchase.

November December January February

Cake Sales $$135,000$ $$121,600$ $$150,000$ $$173,000$

Purchases $$10,000$ $$10,850$ $$11,410$ $$12,720$

$$ Beginning cash balance was $$22,500$ and Mr$.$ Suncat$$s required minimum balance for the Suncat Cake Shop is $$20,000.$

$$ Mr$.$ Suncat estimates direct labor and manufacturing overhead to be $$78,000$ for January and $$86,300$ for February.

$$ Mr$.$ Suncat would like to include in the Cash Budget in January, the purchase of a new industrial oven at a cost of $$90,000.$