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. C D B July $64,000 August $80.000 September $48,000 A 1 2 Budgeted sales 3 Budgeted cash payments for 4 Direct materials 5 Direct labor 6 Factory overhead 16.160 4,040 20,200 13,440 3,360 16,800 13,760 3.440 17,200 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; $45,000 in accounts receivable; $4,500 in accounts payable; and a $5,000 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 ($4,000 per month), and rent ($6,500 per month). 14 of W BUS 535 Syllabus WESTCLIFF UNIVERSITY College of Business Prepare a cash budget for each of the months of July, August, and September. (Round amounts to the dollar.)