Sheffield, Inc. has budgeted sales revenues as follows: June July August Credit sales $142,000 $127,000 $ 90,000 Cash sales 96,000 257,000 193,000 Total sales $238,000 $384,000 $ 283,000 Past experience indicates that 60% of the credit sales will be collected in the month of sale and the remaining 40% will be collected in the following month. Purchases of inventory are all on account with 50% is paid in the month of purchase and 50% paid in the month following purchase. Budgeted inventory purchases are as follows: June July $302,000 220,000 August 109,000 Other cash disbursements budgeted: (a) selling and administrative expenses of $51,000 each month, (b) dividends of $110,000 will be paid in July, and (c) purchase of equipment in August for $40,000 cash. The company's policy is to maintain a minimum cash balance of $50,000 at the end of each month. The company borrows money from the bank at 6% interest if necessary to maintain the minimum cash balance. Borrowed money is repaid in months when there is an excess cash balance. The beginning cash balance on July 1 was $50,000. Assume that borrowed money in this case is for one month Prepare separate schedules for expected collections from customers and expected payments for purchases of inventory. (Do not leave any answer field blank. Enter O for amounts.) Credit sales Schedule of Expected Collections from Customers July August June July August Total collections. $ Schedule of Expected Payments for Purchases of Inventory Inventory purchases June July August Total payments $ July August