Gina's company, Daisy's Delights Barkery & Boutique (DDB&B) is in the process of preparing their cash budget for the month of August. They have provided you with the following sales budget: GROSS SALES MAY $50,000 JUNE $70,000 CREDIT 45000 54000 CASH 5000 6000 JULY $80,000 63000 7000 AUGUST $90,000 12000 8000 Based on past experience, 10% of all sales are cash sales while 90% are credit sales. The typical collection pattern for credit sales is 20% in the month of sale, 50% in the first month following sale and 25% in the second month following sale. There is an estimated uncollectible rate of 5%. The ending cash budget at July 31 is projected to be $12,000. Budgeted costs for the month of August are as follows: The minimum cash balance needed to start a month is $10,000. All borrowing must be in increments of $1,000. All expenses are paid in the month incurred except for inventory. Inventory is paid 1/3 in the month of purchase and 2/3 in the month following purchase. Utilities expense $5,000 July Purchases of supplies $45,000 August Purchases of supplies $150,000 Salaries $65,000 Administrative expenses Rent $25,000 $35,000 (Includes $5,000 of depreciation expense) Amortization expense $9,000 REQUIRED: (1) Prepare a schedule of BUDGETED CASH RECEIPTS FOR AUGUST and (2) Prepare a CASH BUDGET FOR THE MONTH OF AUGUST. Assume total cash receipts (collected) for Part (1) was $70,000!! Show and label all computations!! Schedule I DDB&B Company Cash Receipts for August Credit sales 72000-20 first month following 63000..50 (4 points) 14400 31500 13500 second month following 54000..25 (6 points) Total Cash Receipts $ 59400 Beginning Balance add : Cash Receipts DB&B Cash Budget For the month of August Assume Total Cash Available. Cash Disbursements utilites expense Salaries 5000 65000 adminstrative expense 15000 ant 35000 Ending Cash Balance $ $70,000