Helen Bowers, owner of Helen's Fashion Designs, is planning to request a line of credit from her bank. She has estimated the following sales forecasts for the firm for parts of 2021 and 2022: $160,000 May 2021 June 160,000 July 320,000 August 480,000 September 640,000 October 320,000 November December January 2022 320,000 80,000 160,000 Estimates regarding payments obtained from the credit department are as follows: collected within the month of sale, 10%; collected the month following the sale, 75%; collected the second month following the sale, 15%. Payments for labor and raw materials are made the month after these services were provided. Here are the estimated costs of labor plus raw materials: May 2021 June $ 80,000 80,000 July 112,000 August 784,000 September 240,000 October 192,000 November December 128,000 80,000 General and administrative salaries are approximately $36,000 a month. Lease payments under long-term leases are $12,000 a month. Depreciation charges are $48,000 a month. Miscellaneous expenses are $3,600 a month. Income tax payments of $70,000 are due in September and December. A progress payment of $190,000 on a new design studio must be paid in October. Cash on hand on July 1 will be $140,000, and a minimum cash balance of $95,000 should be maintained throughout the cash budget period.