9.7 Budgeted cash disbursements Burr, Inc. provided the following information: __ July August Projected sales $220,000 $260,000 Projected merchandise purchases $150,000 $180,000 Burr estimates that it will collect 40% of its sales in the month of sale, 35% in the month after the sale, and 22% in the second month following the sale. Three percent of all sales are estimated to be bad debts. Burr pays 30% of merchandise purchases in the month purchased and 70% in the following month. General operating expenses are budgeted to be $20,000 per month of which depreciation is $2,000 of this amount. Burr pays operating expenses in the month incurred. Burr makes loan payments of $3,000 per month of which $400 is interest and the remainder is principal. Instructions Calculate Burr's budgeted cash disbursements for August. Add: sales Saess