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The city of Havenist had the following sales of water for the selected months of...

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Accounting

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The city of Havenist had the following sales of water for the selected months of 2019. All sales are on credit. Historically, 50 percent is collected in the month of the sale, 35 percent during the first month following the sale, and 15 percent in the second month following the sale. The cost of water averages 75 percent of sales revenue. Water is purchased in the month of sale. All purchases are paid during the month following the purchase. Operating costs of $20,000 are paid each month. The September 1 cash balance is $10,000. Required: Prepare a cash budget for September, October, and November

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