Karim Corp. requires a minimum $9,800 cash balance. If necessary, loans are taken to meet this requirement at a cost of 1% interest per month (paid monthly). Any excess cash is used to repay loans at month-end. The cash balance on July 1 is $10,200 and the company has no outstanding loans. Forecasted cash receipts (other than for loans received) and forecasted cash payments (other than for loan or interest payments) follow. Cash receipts Cash payments July $25,800 30,700 August $33,800 31,800 September $41,800 33,800 Prepare a cash budget for July, August, and September. (Negative balances and Loan repayment amounts (if any) should be indicated with minus sign. Round your final answers to the nearest whole dollar.) KARIM CORP. Cash Budget For July, August, and September July August $ 10,200 $ 9,800 25,800 33,800 Beginning cash balance Cash receipts September $ 9,800 41,800 51,600 Total cash available 36,000 43,600 0 Cash payments Interest on bank loan Preliminary cash balance Additional loan (loan repayment) Ending cash balance Loan balance Loan balance - Beginning of month Additional loan (loan repayment) Loan balance - End of month Walker Company prepares monthly budgets. The current budget plans for a September ending merchandise inventory of 36,000 units. Company policy is to end each month with merchandise inventory equal to 20% of budgeted sales for the following month. Budgeted sales and merchandise purchases for the next three months follow. The company budgets sales of 180,000 units in October. July August September Sales (Units) 170,000 320,000 310,000 Purchases (Units) 200,000 318,000 284,000 Prepare the merchandise purchases budgets for the months of July, August, and September. August WALKER COMPANY Merchandise Purchases Budget For July, August, and September July Budgeted ending inventory units Budgeted units sales for month 170,000 Required units of available inventory Beginning inventory (units) Units to be purchased 200,000 September 36,000 320,000 310,000 346,000 318,000 284,000