12 Castor Incorporated is preparing its master budget. Budgeted sales and cash payments for merchandise purchases for the next three months follow April Hay June Sales $ 30,100 5 41,900 $ 25,900 Cash payments for marchandise purchases 24,000 14,90 15,300 Sales are 75% cash and 25% on credit. Sales in March were $25.900. All credit sales are collected in the month following the sale. The March 31 balance sheet includes balances of $13.900 in cash and $2,900 in loans payable. A minimum cash balance of $13.900 IS required. Loans are obtained at the end of any month when the preliminary cash balance is below $12,000. Interest is 2% per month based on the beginning of the month loan balance and is paid at each month end. If a preliminary cash balance above $12.000 at month-end exists, loans are repaid from the excess Expenses are paid in the month incurred and include sales commissions (5% of sales), shipping (2% of sales), office salades ($6,900 per month), and rent (54.900 per month D (4) Prepare a schedule of cash receipts from sales for April, May, and June (6) Prepare a cash budget for each of April, May, and June (Negative balonces and Lonn repayment amounts (if any) should be indicated with minus sign. Round your final answers to the nearest whole dollar) rences CASTOR CORPORATED Schedule of Cash Receipts from Sales April May 15 $ 30 100 5 41.9005 Cath receipts from Cat $ 22,575 5 31.4255 Collection of peopend 6.475 7.625 Totalci S 29. 050 5 389505 June 25 900 19 425 19475 20.000 June CASTOR, INCORPORATED Cash Budget April $ 13,900 $ 29,050 42,950 May 13,900 $ 38,950 52,850 13,900 29,900 43,800 Beginning cash balance Add Cash receipts from sales Total cash available Less Cash payments for Merchandise Sales commissions Shipping Office salaries Rent Interest on loan (24,000) (1,505) (602) (6,900) (4,900) (78) (14,900) (2,095) (838) (6,900) (4,900) (257) (15,300) (1,295) (518) (6,900) (4,900) (76) Total cash payments Preliminary cash balance Additional loan (loan repayment) Ending cash balance (37,985) 4,965 8,935 (29,890) 22,960 (9,060) 13,900 (28,989) 14,811 (911) 13,900 13,900 Loan balance April June $ 3,900 $ Loan balance - Beginning of month Additional loan (loan repayment) Loan balance - End of month May 12,835 (9,060) 37751 S 8,935 12,835 (911) (911) $