Following information relates to Acco Co. a. Beginning cash balance on July 1: $35,000. b. Cash receipts from sales: 24% is collected in the month of sale, 50% in the next month, and 26% in the second month after sale (uncollectible accounts are negligible and can be ignored). Sales amounts are: May (actual), $1,204,000; June (actual), $840,000; and July (budgeted), $980,000. c. Payments on merchandise purchases: 48% in the month of purchase and 52% in the month following purchase. Purchases amounts are: June (actual), $301,000; and July (budgeted), $600,000. d. Budgeted cash payments for salaries in July: $147,700. e. Budgeted depreciation expense for July: $8,400. f. Other cash expenses budgeted for July: $105,000. g. Accrued income taxes due in July: $80,000. h. Bank loan interest paid in July: $4,620. Additional Information: a. Cost of goods sold is 35% of sales. b. Inventory at the end of June is $56,000 and at the end of July is $313,000. C. Salaries payable on June 30 are $35,000 and are expected to be $28,000 on July 31. d. The equipment account balance is $1,120,000 on July 31. On June 30, the accumulated depreciation on equipment is $196,000. e. The $4,620 cash payment of interest represents the 1% monthly expense on a bank loan of $462,000. f. Income taxes payable on July 31 are $132,398, and the income tax rate is 35%. g. The only other balance sheet accounts are: Common Stock, with a balance of $482,520 on June 30; and Retained Earnings, with a balance of $750,400 on June 30. Prepare a budgeted income statement for the month of July and a budgeted balance sheet for July 31. Calculate the budgeted cash receipts and cash payments. Calculation of Cash Receipts From Sales ...............-Collected in ---.............. Total Sales May June July July 31 Accounts Rec. Credit sales from: May $ June 1,204,000 840,000 980,000 3,024,000 July Totals $ $ 0 $ 0 $ 0 $ Calculation of Cash Payments for Merchandise ---Paid in--------- July 31 Accounts Pay Total Purchases June July Purchases from: June $ July 301,000| 600,000 901,000 S Totals $ 0S 0S Prepare a budgeted income statement for the month of July and a budgeted balance sheet for July 31. .. ACCO Co. Budgeted Income Statement For Month Ended July 31 Operating expenses: Total operating expenses Liabilities and Equity Liabilities Stockholders' Equity