orepare the third-quarter budget. You have the following information: 1. The budgeted selling price for the year is $4.99 per unit. Sales volumes are budgeted as follows for the last month of quarter two, for all of quarter three, and for part of quarter four. 5. Posey's pays for 40% of its purchases in the month of purchase and 60% the month after purchase. Total budgeted purchases in March are $20,000. 6. Posey's ending cash balance on June 30 was $57,950. 7. Posey's non-production cash disbursements are estimated at $80,000 per month. Budget Data Budgeted selling price 4.99 Sales Volume Budgets \begin{tabular}{l|r} \hline June & 33500 \\ \hline July & 32000 \\ \hline August & 35200 \\ \hline September & 35000 \\ \hline October & 3400 \end{tabular} Percentage of Sales Cash sales Credit collected in Month of sale Following month Uncollectable following month's sales FG (finished goods) inventory goal volume Target ending inventory DM (direct materials) Pounds per completed unit of DM Expected cost per pound Percentage of Purchase Payments Month of purchase Month after purchase Budgeted purchases - October Other cash disbursements per month Beginning cash balance - July