The accountant for Jean's Dress Shop prepared the following cash budget. Jean's desires to maintain a cash cushion of $10,000 at the end of each month. Funds are assumed to be borrowed and repaid on the last day of each month. Interest is charged at the rate of 1 percent per month.

Required
a. Complete the cash budget by filling in the missing amounts. Round all computations to the nearest whole dollar.
b. Determine the amount of net cash flows from operating activities Jean's will report on the third quarter pro forma statement of cash flows.
c. Determine the amount of net cash flows from financing activities Jean's will report on the third quarter pro forma statement of cash flows.

Cash Budget August September Section 1: Cash receipts $25,000 $ ? Beginning cash balance Add cash receipts 120,300 90,000 115,000 100,000 Total cash available (a) Section 2: Cash payments For inventory purchases For S&A expenses For interest expense 82,750 27,250 70,115 30,280 87,076 30,716 Total budgeted disbursements (b) Section 3: Financing activities 110,000 Surplus (shortage) Borrowing (repayments) (C) 5,000 5,000 Ending cash balance (a - b +c) $10,000 10,000 10,000