The Denver Corporation has forecast the following sales for the first seven months of the year:

January	$	18,000
February		20,000
March		22,000
April		28,000
May		18,000
June		24,000
July		26,000

Monthly material purchases are set equal to 30 percent of forecast sales for the next month. Of the total material costs, 40 percent are paid in the month of purchase and 60 percent in the following month. Labor costs will run $4,800 per month, and fixed overhead is $6,000 per month. Interest payments on the debt will be $3,800 for both March and June. Finally, the Denver salesforce will receive a 2.00 percent commission on total sales for the first six months of the year, to be paid on June 30.

Prepare a monthly summary of cash payments for the six-month period from January through June. (Note: Compute prior December purchases to help get total material payments for January.)

Denver Corporation
Cash Payments Schedule
	December	January	February	March	April	May	June	July
Sales
Purchases
Payment to material purchases
Monthly labor cost
Monthly fixed overhead
Interest expense
Sales commission expense
Total payments