a$.$ Beginning cash balance on July $1$: $$72,000.$

b$.$ Budgeted cash receipts from sales: $20\%$ is collected in the month of sale, $50\%$ in the next month, and $30\%$ in the second month after sale. Sales amounts are May $($actual$),$ $$1,970,000$; June $($actual$),$ $$1,370,000$; and July $($budgeted$),$ $$1,460,000.$

c$.$ Budgeted cash payments on merchandise purchases: $85\%$ in the month of purchase and $15\%$ in the month following purchase. Purchase amounts are June $($actual$),$ $$460,000$; and July $($budgeted$),$ $$780,000.$

d$.$ Budgeted cash payments for salaries in July: $$320,000.$

e$.$ Budgeted cash payments for sales commissions for July: $$230,000.$

f$.$ Budgeted cash payment for income taxes in July: $$70,000.$

g$.$ Budgeted cash payment for loan interest in July: $$7,500.$

Complete this question by entering your answers in the tabs below.

Calculation

Cash Budget

Calculate the budgeted cash receipts and cash payments.

a$.$ Beginning cash balance on July $1$: $$72,000.$

b$.$ Budgeted cash receipts from sales: $20\%$ is collected in the month of sale, $50\%$ in the next month, and $30\%$ in the second month after sale. Sales amounts are May $($actual$),$ $$1,970,000$; June $($actual$),$ $$1,370,000$; and July $($budgeted$),$ $$1,460,000.$

c$.$ Budgeted cash payments on merchandise purchases: $85\%$ in the month of purchase and $15\%$ in the month following purchase. Purchase amounts are June $($actual$),$ $$460,000$; and July $($budgeted$),$ $$780,000.$

d$.$ Budgeted cash payments for salaries in July: $$320,000.$

e$.$ Budgeted cash payments for sales commissions for July: $$230,000.$

f$.$ Budgeted cash payment for income taxes in July: $$70,000.$

g$.$ Budgeted cash payment for loan interest in July: $$7,500.$

Complete this question by entering your answers in the tabs below.

Calculation

Cash Budget

Prepare the July cash budget for Acco Company.