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Required information (The following information applies to the questions displayed below.) Built-Tight is preparing its master budget for the quarter ended September 30. Budgeted sales

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Required information (The following information applies to the questions displayed below.) Built-Tight is preparing its master budget for the quarter ended September 30. Budgeted sales and cash payments for product costs for the quarter follow. July August September Budgeted sales $61,500 $77,500 $50,500 Budgeted cash payments for Direct materiais 16,660 13,940 14,260 Direct labor 4,540 3,860 3,940 Factory overhead 20,700 17,300 17,700 Sales are 25% cash and 75% 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; $45,500 in accounts receivable; and a $5,500 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 ($4,500 per month), and rent ($7,000 per month). 2. Prepare a cash budget for each of the months of July, August, and September. (Negative balances and Loan repayment amounts (if any) should be indicated with minus sign. Enter your final answers in whole dollars.) September 70,750 14,260 Cash Budget For July, August, and September July August Beginning cash balance $ 15,000 $ 15,000 Cash receipts from customers 60,875 65,500 Total cash available 75,875 80,500 Cash payments for: Direct materials 16,660 13,940 Direct labor 4,540 3,860 Overhead 20,700 17,300 Office salaries 4,500 4,500 Rent 7,000 7,000 Sales commissions 6,150 7,750 Interest on bank loan 55 55 Total cash payments 59,605 54,405 Preliminary cash balance Additional loan from bank Repayment of loan to bank Ending cash balance 0 14,260 Loan balance July August September Loan balance - Beginning of month Additional loan (loan repayment) Loan balance - End of month Drau

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