Calgon Products, a distributor of organic beverages, needs a cash budget for September. The following information is available: a. The cash balance at the beginning of September is $14,700. b. Actual sales for July and August and expected sales for September are as follows: July August September Cash sales $ 5,300 $ 4,400 $ 8,400 Sales on account 19,000 34,000 38,000 Total sales $ 24,300 $ 38,400 $ 46,400 Sales on account are collected over a three-month period as follows: 10% collected in the month of sale, 60% collected in the month following sale, and 28% collected in the second month following sale. The remaining 2% is uncollectible. c. Purchases of inventory will total $25,000 for September. Thirty percent of a month's inventory purchases are paid for during the month of purchase. The accounts payable remaining from August's inventory purchases total $16,000, all of which will be paid in September. d. Selling and administrative expenses are budgeted at $14,000 for September. Of this amount, $3,000 is for depreciation. e. Equipment costing $19,000 will be purchased for cash during September, and dividends totaling $3,000 will be paid during the month. f. The company maintains a minimum cash balance of $10,700. An open line of credit is available from the company's bank to bolster the cash balance as needed.