Built-Tight is preparing its master budget. Budgeted sales and cash payments follow: July August September Budgeted sales $ 58,500 $ 74,500 $ 53,500 Budgeted cash payments for Direct materials 16,060 13,340 13,660 Direct labor 3,940 3,260 3,340 Overhead 20,100 16,700 17,100 Sales to customers are 25% cash and 75% on credit. Sales in June were $56,000. All credit sales are collected in the month following the sale. The June 30 balance sheet includes balances of $37,000 in cash and $4,900 in loans payable. A minimum cash balance of $37,000 is required. Loans are obtained at the end of any month when the preliminary cash balance is below $37,000. Interest is 1% per month based on the beginning-of-the-month loan balance and is paid at each month-end. Any preliminary cash balance above $37,000 is used to repay loans at month-end. Expenses are paid in the month incurred and consist of sales commissions (10% of sales), office salaries ($3,900 per month), and rent ($6,400 per month).