Kelsey is preparing its master budget for the quarter ended September 30. Budgeted sales and cash payments for merchandise for the next three months follow. Budgeted Sales Cash payments for merchandise July $62,900 42,600 August $81,100 32,500 September $49,100 33,300 Sales are 15% cash and 85% on credit. All credit sales are collected in the month following the sale. The June 30 balance sheet includes balances of $13,400 in cash; $49,000 in accounts receivable; $5,600 in accounts payable; and a $3,100 balance in loans payable. A minimum cash balance of $13,100 is required. Loans are obtained at the end of any month when a cash shortage occurs. Interest is 2% per month based on the beginning-of-the-month loan balance and is paid at each month-end. If an excess balance of cash exists, loans are repaid at the end of the month. Operating expenses are paid in the month incurred and consist of sales commissions (5% of sales), office salaries ($5,100 per month), and rent ($7,600 per month). (1) Prepare a cash receipts budget for July, August, and September. (2) Prepare a cash budget for each of the months of July, August, and September. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare a cash receipts budget for July, August, and September. July 62,900 $ August September 81,100 $ 49,100 Total sales $ 15% Cash sales Credit sales 85% KELSEY Cash Receipts Budget For July, August, and September July August Cash sales Collections of accounts receivable Total cash receipts September KELSEY Cash Budget For July, August, and September July August $ 13,400 September Beginning cash balance Total cash available Cash payments for: 0 0 Total cash payments Preliminary cash balance Ending cash balance Loan balance August September July 3,100 $ Loan balance - Beginning of month Additional loan (loan repayment) Loan balance - End of month