Chapter 20. Homework Saved 4 Use the following information to prepare the July cash budget for Acco Co. It should show expected cash receipts and cash payments for the month and the cash balance expected on July 31. 2 points eBook a. Beginning cash balance on July 1: $71,000. b. Cash receipts from sales: 20% is collected in the month of sale, 50% in the next month, and 30% in the second month after sale (uncollectible accounts are negligible and can be ignored). Sales amounts are May (actual). $1,970,000, June (actual). $1,280,000; and July (budgeted) $1,490,000 c. Payments on merchandise purchases: 50% in the month of purchase and 50% in the month following purchase. Purchases amounts are: June (actual). $510,000; and July (budgeted). $420,000. d. Budgeted cash payments for salaries in July: $360,000. e. Budgeted depreciation expense for July: $13,000. f. Other cash expenses budgeted for July: $270,000. g. Accrued income taxes due in July: $70,000. h. Bank loan interest paid in July: $7,500. Hint Print Complete this question by entering your answers in the tabs below. References Calculation Cash Budget Calculate the budgeted cash receipts and cash payments. Calculation of Cash Receipts from Sales Collected in Total Sales May June July 31 Accounts Rec. July Credit sales from: May June $ 1.970,000 1,280,000 1,490,000 July Total $ 4,740,000 $ 0 $ 0 $ 0 $ 0 Calculation of Cash Payments for Merchandise -Pald in Total Purchases June July July 31 Accounts Pay $ 510,000 Purchases from: June July Totals 420,000 930,000 $ $ 0 $ 0 $ 0 taler Cash Budget > h. Bank loan interest paid in July: $7,500. Print 10 Complete this question by entering your answers in the tabs below. References Calculation Cash judget Prepare the July cash budget for Acco Co. ACCO CO. Cash Budget For the Month Ended July 31 Total cash available Cash payments for: Total cash payments 0