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 $9,600. b.Actual sales for July and August and expected sales for September are as shown below. Sales on account are collected over a three-month period as follows: 10% collected in the month of sale, 70% collected in the month following sale, and 18% collected in the second month following sale. The remaining 2% is uncollectible: July August $ 7700 $ 5.850 September $ 7,880 Cash sales Sales on account 26,000 42,000 52.000 Total sales $ 33,700 $ 47,850 $59,880 c. Purchases of inventory will total $31,000 for September. Twenty 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 $23,200, all of which will be paid in September. d.Selling and administrative expenses are budgeted at $19.000 for September. Of this amount. $6,400 is for depreciation. e.Equipment costing $24,000 will be purchased for cash during September, and dendentin CA 70A...ll herniat in the month f. The company maintains a minimum cash balance of $5,100. An open line of credit is available from the company's bank to bolster the cash position as needed. Assume any borrowings occur at the beginning of the month and repayments occur at the end of the month. Interest on outstanding loan balances during the month must be paid at the end of each month. The monthly interest rate is 0.5%. Required: 1. Prepare a schedule of expected cash collections for September. 29 es September cash sales September collections on account: July sales August sales September sales Total cash collections 2. Prepare a schedule of expected cash disbursements during September for inventory purchases. Payments to suppliers: August purchases (accounts payable) September purchases Total cash payments 3. Prepare a cash budget for September. Indicate in the financing section any borrowing that will be needed during September. (Round your intermediate calculations to the nearest whole number.) Calgon Products Cash Budget For the Month of September Cash balance, September 1 Add cash receipts: Collections from customers Total cash available before current financing Less disbursements: Payments to suppliers for inventory Selling and administrative expenses Equipment purchases Dividends paid Total disbursements Excess (deficiency) of cash available over disbursements Financing: Borrowings Repayments Interest Total financing Cash balance, September 30 A