Blossom Company has budgeted sales revenues as follows: June Credit sales July $52,000 72,000 $124.000 $52,000 42,000 $94,000 August $47,000 62,000 $109,000 Cash sales Total sales Past experience indicates that 60% of the credit sales will be collected in the month of sale and the remaining 40% will be collected in the following month. Purchases of inventory are all on credit and 50% is paid in the month of purchase and the remaining 50% in the month following purchase. Budgeted inventory purchases are as follows: June July August $82,000 72,000 42,000 Other budgeted cash disbursements: (a) selling and administrative expenses of $7,400 each month, (b) dividends of $42,000 will be paid in July and (c) purchase of a computer in August for $10,000 cash. The company wishes to maintain a minimum cash balance of $32,200 at the end of each month. The company borrows money from the bank at 9% interest, if necessary, to maintain the minimum cash balance. Borrowed money is repaid in months when there is an excess cash balance. The beginning cash balance on July 1 was $32,200. Assume that borrowed money, in this case, is for one month. Prepare a cash budget for the months of July and August. (Do not leave any answer field blank. Enter O for amounts.) BLOSSOM COMPANY Cash Budget For the Months of July and August July August $ $ $ $ Prepare separate schedules for expected collections from customers. Schedule of Expected Collections from Customers Credit sales July August June $ July August Total collections $ e Textbook and Media Prepare separate schedules for expected payments for purchases of inventory. Schedule of Expected Payments for Purchase of Inventory Inventory purchases July August June $ $ July August Total payments $ $