The balance sheet of Phototec, Inc., a distributor of photographic supplies, as of May 31 is given below:

Phototec, Inc. Balance Sheet May 31
Assets
Cash	$	9,150
Accounts receivable		61,000
Inventory		30,500
Buildings and equipment, net of depreciation		509,350
Total assets	$	610,000
Liabilities and Stockholders' Equity
Accounts payable	$	73,200
Note payable		13,420
Capital stock		450,180
Retained earnings		73,200
Total liabilities and stockholders' equity	$	610,000

The company is in the process of preparing a budget for June and has assembled the following data:

a.	Sales are budgeted at $271,000 for June. Of these sales, $75,000 will be for cash; the remainder will be credit sales. One-half of a month