Cash budget-Basic Grenoble Enterprises had sales of $50,200 in March and $60,500 in April. Forecast sales for May, June, and July are $69,900, $79,900, and $99,800, respectively. The firm has a cash balance of $4,800 on May 1 and wishes to maintain a minimum cash balance of $4,800. Given the following data, prepare and interpret a cash budget for the months of May, June, and July (1) The firm makes 16% of sales for cash, 59% are collected in the next month, and the remaining 25% are collected in the second month following sale. (2) The firm receives other income of $1,900 per month. (3) The firm's actual or expected purchases, all made for cash, are $50,200, 570,300, and $80,300 for the months of May through July, respectively. (4) Rent is $2,600 per month. (5) Wages and salaries are 9% of the previous month's sales. (6) Cash dividends of $3,400 will be paid in June. (7) Payment of principal and interest of $3,900 is due in June. (8) A cash purchase of equipment costing $6,400 is scheduled in July (9) Taxes of $5,900 are due in June