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1. Why might a rolling budget require more management participation than an annual budget? 2. Why does budget planning typically begin with the sales forecast? 3. Desiccate purchases direct materials each month. Its payment history shows that 70% is paid in the month of purchase with the remaining balance paid the month after purchase. Prepare a cash payment schedule for March if in January through March, it purchased $35,000, $37,000, and $39,000, respectively. 4. Using the provided budgeted information for production of 10,000 and 15,000 units, prepare a flexible budget for 17.000 units