Required information Problem 22-2A (Algo) Manufacturing: Cash budget and schedule of cash payments LO P2 [The following information applies to the questions displayed below.] Built-Tight is preparing its master budget. Budgeted sales and cash payments follow: September $ 54,500 Budgeted sales Budgeted cash payments for Direct materials Direct labor Overhead Problem 22-2A (Algo) Part 1 Sales Cash receipts from: Cash sales July $ 57,500 15,860 3,740 19,900 Sales to customers are 20% cash and 80% on credit. Sales in June were $55,000. All credit sales are collected in the month following the sale. The June 30 balance sheet includes balances of $41,000 in cash and $4,700 in loans payable. A minimum cash balance of $41,000 is required. Loans are obtained at the end of any month when the preliminary cash balance is below $41,000. Interest is 1% per month based on the beginning-of-the-month loan balance and is paid at each month-end. Any preliminary cash balance above $41,000 is used to repay loans at month-end. Expenses are paid in the month incurred and consist of sales commissions (10% of sales), office salaries ($3,700 per month), and rent ($6,200 per month). Collections of prior period sales Total cash receipts August $ 73,500 $ 13,140 3,060 16,500 1. Prepare a schedule of cash receipts for the months of July, August, and September. BUILT-TIGHT Schedule of Cash Receipts from Sales July August September $ 57,500 $ 73,500 $ 54,500 13,460 3,140 16,900 11,500 $ 14,700 $ 10,900 $ 11,500 $ 14,700 $ 10,900

Required information Problem 22-2A (Algo) Manufacturing: Cash budget and schedule of cash payments LO P2 [The following information applies to the questions displayed below] Built-Tight is preparing its master budget. Budgeted sales and cash payments follow: Sales to customers are 20% cash and 80% on credit. Sales in June were $55,000. All credit sales are collected in the month following the sale. The June 30 balance sheet includes balances of $41,000 in cash and $4,700 in loans payable. minimum cash balance of $41,000 is required. Loans are obtained at the end of any month when the preliminary cash balance is below $41,000. Interest is 1% per month based on the beginning-of-the-month loan balance and is paid at each month-end. Any preliminary cash balance above $41,000 is used to repay loans at month-end. Expenses are paid in the month incurred and consist of sales commissions ( 10% of sales), office salaries ( $3,700 per month), and rent ( $6,200 per month). Problem 22-2A (Algo) Part 1 1. Prepare a schedule of cash receipts for the months of July. August, and September