Problem 7-20A (Algo) Preparing a cash budget LO 7-5 Stuart Medical Clinic has budgeted the following cash flows. January February March Cash receipts $115,000 $121, 000 $141, 800 Cash payments For inventory purchases 97,500 79.500 92,500 For S&A expenses 38,500 39,500 34,500 Stuart Medical had a cash balance of $15,500 on January 1. The company desires to maintain a cash cushion of $8.000. Funds are assumed to be borrowed, in increments of $1,000, and repaid on the last day of each month the interest rate is 1 percent per month Repayments may be made in any amount available. Stuart pays its vendors on the last day of the month also. The company had a monthly $40,000 beginning balance in its line of credit liability account from this year's quarterly results. Required Prepare a cash budget. (Round intermediate and final answers to the nearest whole dollar amounts. Any repayments/shortage should be indicated with a minus sign. ) should be indicated with a minus sign. ) Cash Budget January March February $ 0 $ 0 0 0 0 Cash available Less: Cash payments 0 0 0 Total budgeted payments Payments minus receipts 0 0 Financing Activity $ 0 $ OS 0