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.

Beginning cash balance was $$22,500$ and Mr$.$ Supcat'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.$

Suncat Cake Shop

Kash Collections Schedule

For the Quarter Ended March $31,2022$

Suncat Cake Shop

Cash Payments Schedule

For the Quarter Ended March $31,2022$