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Burr, Inc. provided the following information August $260,000 $180,000 Projected sales $220,000 Projected merchandise purchases $150,000 Burr estimates that it will collect 40% of its
Burr, Inc. provided the following information August $260,000 $180,000 Projected sales $220,000 Projected merchandise purchases $150,000 Burr estimates that it will collect 40% of its sales in the month of sale, 35% in the month after the sale, and 22% in the second month following the sale. Three ercent of all sales are estimated to be bad debts. Burr pays 30% of merchandise purchases in the month purchased and 70% in the following month. General operating expenses are budgeted to be $20,000 per month of which depreciation is $2,000 of this amount. Burr pays operating expenses in the month incurred Burr makes loan payments of $3,000 per month of which $400 is interest and the remainder is principa Instruction:s Calculate Burr's budgeted cash disbursements for August
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