Lindsey Chocolate, Inc. has prepared its third quarter budget and provided the following data:

The cash balance on June 30 is projected to be $4,000. The company has to maintain a minimum cash balance of $5,000 and is authorized to borrow at the end of each month to make up any shortfalls. It may borrow in increments of $5,000 and has to pay interest every month at an annual rate of 4%. All financing transactions are assumed to take place at the end of the month. The loan balance should be repaid in increments of $5,000 whenever there is surplus cash. Calculate the ending projected cash balance before financing for August.

Cash collections Cash payments Purchases of direct materials Operating expenses Capital expenditures Aug Sep Jul $51 S39.600 S46.900 31.000 21.100 17800 12.000 S.500 11.500 13400 24500 0