A company's budgeted sales and cash payments for merchandise for the next two months follow.

July August

Budgeted sales $ $33,100$ $ $42,100$

Budgeted cash payments for merchandise purchases $20,41017,440$

Sales in June are $$26,400.$ Sales are $40\%$ cash and $60\%$ on credit. All credit sales are collected in the month after the sale. The June $30$ balance sheet includes $$12,600$ in cash and $$2,100$ in loans payable. The company requires a $$12,600$ minimum cash balance. The company takes loans as needed at month$-$end to meet this minimum balance. Interest of $1\%$ month $($based on the loan balance at the beginning of the month$)$ is paid at each month$-$end. Preliminary cash balances above $$12,600$ at each month$-$end are used to repay any loans. Expenses include office salaries of $$5,370$ per month, rent of $$3,270$ per month, sales commissions at $10\%$ of sales dollars, and shipping at $2\%$ of sales dollars; these expenses are paid in the month incurred. Dividends of $$1,120$ will be paid in August.