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Based on the following data, prepare a cash budget (in proper form with labels) for July...

Based on the following data, prepare a cash budget (in proper form with labels) for July and August.

Forecast sales

May     $12,000       Cash sales are 30% of total sales.  Credit sales

June     15,000         are collected as follows: 60% one month after the

July      $16,000        sale and 40% 2 months after the sale

August $12,000

Accounts payable are paid 100% 2 months after the purchase

Expected A/P

May     $4,500              In addition to purchases, there are utility

June    $6,500              bills of $1,500 each month and rent of $1,200

July     $7,000              per month.

August $8,000

Beginning cash for July is $4,800

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