Exercise 20-20 (Algo) Cash budget LO P2 Karm Corporation requires a minimum $8,700 cash balance Loans taken to meet this requirement cost 2% interest per month (paid at the end of each month) Any preliminary cash balance above $8,700 is used to repay loans at month-end. The cash balance on July 1 is $9100, and the company has no outstanding loans Budgeted cash receipts (other than for loans received) and budgeted cash payments (other than for loan or interest payments) follow July August September Cash receipts $ 24,700 $ 32,700 $ 40,700 Cash payments 29,050 30,700 32,700 Prepare a cash budget for July August, and September (Negative balonces and Loon repayment amounts (if any) should be indicated with minus sign. Round your final answers to the nearest whole dollar.) KARIM CORPORATION Cash Budget July $ 9,100 August September Beginning cash balance Add: Cash receipts Total cash available Less Cash payments for Interest on loan Cash payments Total cash payments Preliminary cash balance Loan activity Additional loan (loan repayment) Ending cash balance Loan balance $ 0 Loan balance - Beginning of month Additional loan (loan repayment) Loan balance - End of month