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Hoppy Company requires a minimum cash balance of $3,500. When the company expects a cash deficiency, it borrows the exact amount required on the first of the month. Expected excess cash is used to repay any amounts owed. Interest owed from the previous month's principal balance is paid on the first of the month at 14% per year. The company has already completed the budgeting process for the first quarter for cash receipts and cash payments for all expenses except interest (Click the icon to view the completed budget information.) Hoppy does not have any outstanding debt on January 1. Complete the cash budget for the first quarter for Hoppy Company. Round interest expense to the nearest whole dollar. input fields. Enter a "0" for any zero balances. Round all amounts entered into the cash budget to the nearest whole dollar. Enter effects of financing with a minus sign or parentheses.) cash deficiency and/or negative Hoppy Company Cash Budget For the Three Months Ended March 31 January February March Total Beginning cash balance $ 3,500 3,500 3,500 $ 19,000 3,500 $ 27,500 42,000 88,500 22,500 31,000 45,500 92,000 Cash receipts Cash available Cash payments: All expenses except interest 34,000 35,000 39,000 108,000 440 0 Interest expense 175 265 34,000 35,175 39,265 108,000 Total cash payments Ending cash balance before financing 6,235 (11,500) (3,500) (4,175) (3,500) (16,000) (3,500) Minimum cash balance desired (3,500) (15,000) (7,675) 2,735 (19,500) Projected cash excess (deficiency) Financing Borrowing 15,000 7,675 0 22,675 0 0 (2,735) Principal repayments (2,735) Total effects of financing 15,000 7,675 (2,735) 19,940 $ 3,500 3,500 $ 3,500 3,500 Ending cash balance

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