Castor Incorporated is preparing its master budget. Budgeted sales and cash payments for merchandise purchases for the next three months follow. April $ 56,000 May $ 70,000 June $ 42,000 Budgeted Sales Cash payments for merchandise purchases 35,350 29,400 30,100 Sales are 50% cash and 50% on credit. Sales in March were $42,000. All credit sales are collected in the month following the sale. The March 31 balance sheet includes balances of $21,000 in cash and $3,500 in loans payable. A minimum cash balance of $21,000 is required. Loans are obtained at the end of any month when the preliminary cash balance is below $21,000. Interest is 1% per month based on the beginning-of-the-month loan balance and is paid at each month-end. If a preliminary cash balance above $21,000 at month-end exists, loans are repaid from the excess. Expenses are paid in the month incurred and include sales commissions (10% of sales), shipping (2% of sales), office salaries ($8,750 per month), and rent ($5,250 per month). (a) Prepare a schedule of cash receipts from sales for April, May, and June. (b) Prepare a cash budget for each of April, May, and June. (Negative balances and Loan repayment amounts (if any) should be indicated with minus sign. Round your final answers to the nearest whole dollar.) CASTOR INCORPORATED May June Schedule of Cash Receipts from Sales April Collections of prior period sales $ 56,000 $ Cash receipts from Cash sales 70,000 $ 42,000 Collections of prior period sales Total cash receipts $ 0 CASTOR, INCORPORATED $ 0 $ 0 Cash Budget April May June Beginning cash balance Add: Cash receipts from sales Total cash available 0 0 0 Less: Cash payments for: Collections on account Merchandise purchases Interest on loan Sales commissions Shipping Office salaries Rent Total cash payments Preliminary cash balance Additional loan (loan repayment) Ending cash balance Loan balance April May June $ 3,500 Loan balance - Beginning of month Additional loan (loan repayment) Loan balance - End of month