During the last week of August, Oneida Companys owner approaches the bank for a $101,000 loan to be made on September 2 and repaid in November 30 with annual interest of 17%, for an interest cost of $4,293. The owner plans to increase the stores inventory by $60,000 during September and needs the Lon to pay for inventory acquisitions. The banks loan officer needs more information about Oneidas ability to repay the loan and asks the owner to forecast the stores November 30 cash position. On September 1, Oneida is expected to have a $4500 cash balance, $129,600 of net accounts receivable, and $100,000 of accounts payable. Its budgeted sales, merchandise purchases, and various cash disbursements for the next three months follow. Sales: September $240,000, October $395,000, November $450,000. Merchandise purchases Sept 230,000, Oct 210,000, Nov 200,000, Cash Payments- Payroll Sept 20,000, Oct 22,100, Nov 24,000, Rent Sept 9,000, Oct 9,000, Nov 9,000, Other cash expenses Sept 34,800, Oct 30,600, Nov 20,300, Repayment of Bank loan- Nov 101,000, Interest on the bank loan Oct 4,293. Operations began in August; August sales were $180,000 and purchases were $115,000. The budgeted September merchandise purchases include the inventory increase. All sales are on account. The company predicts that 28% of credit sales is collected in the month of the sale, 43% in the month following the sale, 23% in the second month, 5% in the third, and the remainder is uncollectible. Applying these percents to the August credit sales, for example, shows that $77,400 of the $180,000 will be collected in September, $41,400 in October, and $9,000 in November. All merchandise is purchased on credit; 70% of the balance is paid in the month following a purchase, and the remaining 30% is paid in the second month. For example, of the $115,000 August purchases, $80,500 will be paid in September and $34,500 in October. Prepare a cash budget for Sept, Oct, and Nov. Caluclation of cash receipts from sales. Calculation of cash payments for merchandise.