Check my work 12 Castor Incorporated is preparing its master budget. Budgeted sales and cash payments for merchandise purchases for the next three months follow. 10 points April $ 31,500 Budgeted Sales Cash payments for merchandise purchases May $ 40,500 June $ 24,500 21,200 16,300 16,700 eBook Hint Sales are 60% cash and 40% on credit. Sales in March were $24,500. All credit sales are collected in the month following the sale. The March 31 balance sheet includes balances of $12,500 in cash and $2,500 in loans payable. A minimum cash balance of $12,500 is required. Loans are obtained at the end of any month when the preliminary cash balance is below $12,000. Interest is 2% 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 (5% of sales), shipping (4% of sales), office salaries ($5,500 per month), and rent ($3,500 per month). Print References (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 Schedule of Cash Receipts from Sales April May $ 31,500 $ 40,500 June $ 24,500 Sales Cash receipts from Total cash receipts $ 0 $ 0 $ 0 12 Cash receipts from Total cash receipts $ 0 $ 0 $ 0 10 points CASTOR, INCORPORATED Cash Budget April May June eBook Beginning cash balance Hint Print Total cash available 0 0 0 References Less: Cash payments for: Total cash payments Preliminary cash balance Ending cash balance Loan balance 12 Total cash available 0 0 0 Less: Cash payments for: 10 points eBook Hint Print Total cash payments References Preliminary cash balance Ending cash balance Loan balance April May June $ 2,500 Loan balance - Beginning of month Additional loan (loan repayment) Loan balance - End of month