QUESTION 3 (20 Marka) REQUIRED Use the information provided below to prepare the following for January and February 2024: 3.1 Debtors Colection Schedule (4 maris) 3.2 Cash Budget (16 mancs) INFORMATION The following information supplied by Ortit Enterprises: 1. Orbit Enterprises expects to have an unfavourable bank bolance of 736000 on 31 December 2023. 2. Exnartat enlac ana ne inllowe: 3. Credit sales account for 60% of the total sales. The rest of the sales is for cash. 4. The amounts owed by debtars are usually collected as follows: - 20% is colected in the same month as the credil sales for a 2% cash discount. - 75% is colected in the month offer the sole. 5% is written of as bad debts. 5. Forty percent (40%) of the purchases of invertory will be on credit. Creditors are paid two months after the purchose. The rest of the purchases will be for cash. A cash discount of 10% is expected to be received on 50% of the cash purchases. Purchases have been forecasted as follows: 6. The monthly salary expense of R100 000 is expected to increase by 7% from 01 February 2024. 7. Interest on ioan for three months at an interest rate of 15% p.a. on the loan balance of R200 000 will be paid on 31 January 2024. 8. Advertising expenses are paid monthly and are estimated to be a fixed percentage of the total sales of the previous month. The advertising expense for December 2023 is expected to be R16 000 . 9. The proprietor's cash drawings are expected to amount to F24 000 per month. 10. Other cash operating expenses are expected to increase by 5% per month. Cash operating expenses for December 2023 are expected to amount to R40 000. 4.1 REQUIRED Calculate the following trom the information provided below: 4.1.1 Economic Order Quantity ( 5 marks) 4.12 Re-order point (3 marks) INFORMATION The following details have been suppied by Embury Limited for one of its products: 4.2 REQUIRED Use the information given below to calculate the cost (as a percentage, expressed to two decimal places) to Samke Retailens of not accepting the cash discount. (Assume a 360-day (4 marks) year.) INFORMATION Brics Wholesalers oflers Samke Retailers credit terms of 30 days but allows a discount of 2.5% if the account is setted in full within 12 days. 4.3 REQUIRED Use the information provided below to calculate the cost (as a percentage, expressed to two decimal places) of ordinary share financing, preference share financing and the loan. (8 marks) INFORMATION Each project requires an inital investment of R1200000. A scrap value of R50 000 (not included in the figures above) is expected for Project Fon only. The required rate of retum is 12\%. The estimated average annual proits of Project Fon and Project Hob are R112 000 and R100 000 respectively