1 Exercise 7-7 Preparing a Cash Budget (LO2- CC12) 10 points eBook References The controller of Arrowroot Company wishes to improve the company's control system by preparing a monthly cash budget. The following information relates to the month ending July 31, 2021: June 30, 2021, cash balance Dividends were declared on June 15* Cash expenditures to be paid in July for operating expenses Depreciation expense Cash collections to be received Merchandise purchases to be paid in cash Equipment to be purchased for cash Arrowroot Company wishes to maintain a minimum cash balance of $102,000 30,000 76,600 10,200 184,000 115,400 42,800 42,000 *Dividends are payable to shareholders of record on declaration date, 30 days after declaration. Required: 1. Prepare a cash budget for the month ended July 31, 2021, indicating how much, if anything, Arrowroot will need to borrow to meet its minimum cash requirement. (Leave no cells blank - be certain to enter "O" wherever required.) Cash balance, beginning ARROWROOT COMPANY Cash Budget for July 31, 2021 Add cash receipts Collections from customers Total cash available before current financing Less disbursements