Built-Tight is preparing its master budget for the quarter ended September 30. Budgeted sales and cash payments for product costs for the quarter follow. July August September Budgeted sales $ 57,500 $ 73,500 $ 54,500 Budgeted cash payments for Direct materials 15,860 13,140 13,460 Direct labor 3,740 3,060 3,140 Factory overhead 19,900 16,500 16,900 Sales are 20% cash and 80% on credit. All credit sales are collected in the month following the sale. The June 30 balance sheet includes balances of $15,000 in cash; $44,700 in accounts receivable; and a $4,700 balance in loans payable. A minimum cash balance of $15,000 is required. Loans are obtained at the end of any month when a cash shortage occurs. Interest is 1% per month based on the beginning-of-the-month loan balance and is paid at each month-end. If an excess balance of cash exists, loans are repaid at the end of the month. Operating expenses are paid in the month incurred and consist of sales commissions (10% of sales), office salaries ($3,700 per month), and rent ($6,200 per month). rev: 03_17_2020_QC_CS-204679 1. Prepare a cash receipts budget for July, August, and September.

BUILT-TIGHT
Cash Receipts Budget
For July, August, and September
	July	August	September
Sales	$57,500	$73,500	$54,500
Less: ending accounts receivable
Cash receipts from:
Cash sales	57,500	73,500	54,500
Collections of prior months receivables
Total cash receipts	$57,500	$73,500	$54,500