Castor Incorporated is preparing its master budget. Budgeted sales and cash payments for merchandise purchases for the next three months follow. Budgeted Sales Cash payments for merchandise purchases April $ 32,000 20,200 May $ 40,000 16,800 June $ 24,000 17,200 Sales are 50% cash and 50% on credit. Sales in March were $24,000. All credit sales are collected in the month following the sale. The March 31 balance sheet includes balances of $12,000 in cash and $2,000 in loans payable. A minimum cash balance of $12,000 is required. Loans are obtained at the end of any month when the preliminary cash balance is below $12,000. 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 $12,000 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 ($5,000 per month), and rent ($3,000 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 dollar.) Cash receipts from CASTOR INCORPORATED Schedule of Cash Receipts from Sales April May June $ 32,000 $ 40,000 $ 24,000 Total cash receipts $ 0 $ 0 $ CASTOR, INCORPORATED Cash Budget April May June Beginning cash balance Total cash available Less: Cash payments for Total cash payments Preliminary cash balance Ending cash balance Loan balance 0 0 Loan balance - Beginning of month Additional loan (loan repayment) Loan balance - End of month Loan balance April $ 2,000 May June