Required information Problem 7-2A Manufacturing: Cash budget LO P2 The following information applies to the questions displayed below.] Built-Tight is preparing its master budget for the quarter ended September 30, 2017. Budgeted sales and cash payments for product costs for the quarter follow July August September $56,000 $72,000 56,000 Budgeted sales Budgeted cash payments for Direct materials 13,160 15,560 12,840 3,440 2,760 19,600 16,200 Direct labor Factory overhead 2,840 16,600 Sales are 20% cash and 80% on credit. All credit sales are collected in the month following the sale. The June 30 balance sheet includes balances of $15,000 in cash; $44,400 in accounts receivable; $3,900 in accounts payable; and a $4,400 balance in loans payable. A minimum cash balance of $15,000 is required. Loans are obtained at the end of any month when a cash shortage occurs. Interest is 1% 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 (10% of sales), office salaries ($3,400 per month), and rent ($5,900 per month). Problem 7-2A Part 1 (1) Prepare a cash receipts budget for July, August, and September BUILT-TIGHT Cash Receipts Budget For July, August, and September August September $ 56,000 72,000 S 56,000 ales Less: ending accounts receivable 44,800 57,600 44,800 Cash receipts from: 14,400 ash sales 11,200 11,200 llections of prior month's receivables 44,400 S 55,60014,400 11,200 Total cash receipts Problem 7-2A Part 2 (2) Prepare a cash budget for each of the months of July, August, and September. (Negative balances and Loan repayment amou (if any) should be indicated with minus sign. Enter your final answers in whole dollars.) BUILT-TIGHT Cash Budget For July, August, and September July August September Beginning cash balance Total cash available Cash payments for: Total cash payments Preliminary cash balance Ending cash balance Loan balance July August September Loan balance Beginning of month Additional loan (loan repayment) Loan balance End of month