Howe Ltd. is trying to decide whether it is going to need to take a loan in January to buy a new microcomputer system. The microcomputer will cost $8,800. The president, Joan Howe, has collected the following information about her operations as at December 31: 1. Balances of selected general ledger accounts: Cash $2,500 Accounts Payable 6,667 2. Sales history and forecast (unit selling price, $10): October (actual) $45,000 November {actual} 33,000 December (actuai) 45,000 January {forecast} 60,000 3. All sales are on credit and are due 30 days after the sale. 4. Cash payments for purchases are as follows: two thirds in the month of purchase; one third in the month after that. 5. Howe Ltd. collect: 50% of a month's sales one month aft er lire sale and 45% two months after the sale; 5% are unooliectible. 6. The company purchases inventory as required under terms of 2.110, net 30. It always lakes the 2% discount, but records purchases at gross cost. Accounts payable (shown above) relate solely to inventory purchesa. Inventory costs $5 per unit, gross. 7. other expenses, all paid in sh as required, average about 30% of The sales dollar amount. Depreciation is part of these expenses and costs $3,000 per month. a. Howe Ltd. keeps a minimum cash balance of $4,000. Prepare a cash budget for January, indicating whether Howe Ltd. will need a loan to finance its computer acquisition. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45). Round answers to 0 decimal places, e.g. 5,275. Do not leave any answer field blank. Enter 0 for amounts.)