Set. (A) ABC Co. wishes to arrange overdraft facilities with its bankers during the period April to June, 2020 when it will be manufacturing mostly for stock. Prepare a cash budget for the above period from the following data, indicating the extent of the bank facilities the company will require at the end of each month: [10 Marks]

2017	Sales	Purchases	Wages
Feb	180000	124800	12000
March	192000	144000	14000
April	108000	243000	11000
May	174000	246000	10000
June	126000	268000	15000

Additional Information

50 per cent of credit sales are realized in the month following the sales and remaining 50 per cent in the second month following.

Creditors are paid in the month following the month of purchase.

Wages are paid with a time lag of one month.

Cash at bank on 1.4.2017 is Rs.25000.

Dividend of Rs.5000 is to be paid in the month of May.

Instalment of Rs.10000 for the equipment is due in the month of June.

Interest of Rs.15000 to be received in the month of April