Anthony Ltd. prepares monthly cash budgets. The following information is available for the company: July August Sales $357,000 $404,000 Direct materials purchases $119,000 $111,000 Direct labour $84,000 $112,000 Manufacturing overhead $69,000 $89,000 $76,000 $80,000 Selling & administrative expenses The following additional information is available: a. Sales are 100% on account and the company expects to collect 50% in the month of sale, 40% in the month following sale and 10% in the month after that. b. Direct material purchases are paid 30% in the month of purchase and 70% in the month after purchase. c. Sales for May were $201,000 and sales in June were $277,000. d. The company purchased $90,000 of direct materials in June. e. Direct labour is paid in the month the costs are incurred. f. Manufacturing overhead includes $10,000 of depreciation every month. The remaining costs are paid in the month incurred.