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Built$-$Tight is preparing its master budget. Budgeted sales and cash payments follow:

Sales to customers are $30\%$ cash and $70\%$ on credit. Sales in June were $$64,000.$ All credit sales are collected in the

month following the sale. The June $30$ balance sheet includes balances of $$35,000$ in cash and $$6,000$ in loans payable.

A minimum cash balance of $$35,000$ is required. Loans are obtained at the end of any month when the preliminary cash

balance is below $$35,000.$ Interest is $1\%$ per month based on the beginning$-$of$-$the$-$month loan balance and is paid at each

month$-$end. Any preliminary cash balance above $$35,000$ is used to repay loans at month$-$end. Expenses are paid in the

month incurred and consist of sales commissions $(10\%$ of sales$),$ office salaries $($ $$5,000$ per month$),$ and rent $($ $$7,500$ per

month$).$

Prepare a cash budget for the months of July, August, and September.

Note: Negative balances and Loan repayment amounts $($if any$)$ should be indicated with minus sign. Enter your final answers in

whole dollars. $\backslash$table$[[$BUILT$-$TIGHT$],[$Cash Budget$],[,$July,August,September$],[$Beginning cash balance,$35,000,35,000,],[$Add: Cash receipts,$62,500,63,800,68,400],[$Total cash available,$97,500,98,800,],[$Less: Cash payments for$],[$Direct materials,$17,160,14,440,14,760],[$Direct labor,$5,040,4,360,4,440],[$Overhead$,21,200,17,800,18,200],[$Sales commissions,$5,900,7,500,5,300],[$Office salaries,$5,000,5,000,5,000],[$Rent$,7,500,7,500,7,500],[$Interest on loan,$60,,0],[$Total cash payments,$61,860,56,600,55,200],[$Preliminary cash balance,$35,640,,],[$Loan activity$],[$Additional loan,$0,0,0],[$Repayment of loan to bank$],[$Ending cash balance,$35,640,0,0],[$Loan balance$],[,$July,August,September$]]$

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$6$

of $10\backslash$table$[[$Loan balance$],[$Loan balance $-$ Beginning of month,July,August,September$],[$$$,6,000,$$$,6,000],[$Additional loan $($loan repayment$)],[$Loan balance $-$ End of month,$$,6,000,,,]]$

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