Martin Clothing Company is a retail company that sells hiking and other outdoor gear specially made for the desert heat. It sells to individuals as well as local companies that coordinate adventure getaways in the desert for tourists. The following information is available for several months of the current year:

Month	Sales		Purchases		Cash Expenses Paid
May	$	120,000	$	90,000	$	24,000
June		115,000		95,000		31,000
July		160,000		150,000		38,250
August		145,000		80,000		34,700

The majority of Martins sales (70 percent) are cash, but a few of the excursion companies purchase on credit. Of the credit sales, 40 percent are collected in the month of sale and 60 percent are collected in the following month. All of Martins purchases are on account with 55 percent paid in the month of purchase and 45 percent paid the following month. Required: 1. Determine budgeted cash collections for July and August.

	July	August
Budgeted Cash Collections

2. Determine budgeted cash payments for July and August.

	July	August
Budgeted Cash Payments