Cash Budget The owner of a building supply company has requested a cash budget for June. After examining the records of the company, you find the following: a. Cash balance on June 1 is $1,386. b. Actual sales for April and May are as follows: April May Cash sales $10,000 $18,000 Credit sales 28,900 35,000 Total sales $38.900 $53,000 c. Credit sales are collected over a 3-month period: 40% in the month of sale, 30% in the second month, and 20% in the third month. The sales collected in the third month are subject to a 2% late fee, which is paid by those customers in addition to what they owe. The remaining sales are uncollectible. d. Inventory purchases average 66% of a month's total sales of those purchases, 20% are paid for in the month of purchase. The remaining 80% are paid for in the following month e. Salaries and wages total $11,750 per month, including a $4,500 salary paid to the owner 1. Rent is $4,100 per month 9. Taxes to be paid in June are $6,780. The owner also tell you that he expects cash sales of $18.600 and credit sales of $54,000 for June. No minimum cash balance is required. The owner of the company doesn't have access to short-term loans. Required: 1. Prepare a cash budget for June. Indude supporting schedules for cash collections and cash payments. Round calculations and final answers to the nearest dollar Be sure to enter percentages as whole numbers Cash Budget For June $ 1,386 Beginning cash balance Check My Work 2 more Check My Work uses remaining eBook Calculator Collections: Cash sales 18,600 Credit sales: Current month 40 % 21,600 54,000x May credit sales 35,000 x 10.500 April credit sales 5,8967 Total cash available $ 57,982 Less disbursements: Inventory purchases: Current month 206 .480 $ 35,640 X X Prior month 35,640 $ X 80 28,512 % X 11.750 Salaries and wages 4,100 Rent 6,780 Taxes Total cash needs