Our orders are delivered strictly on time without delay 
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. (see attachment below)
Sales are 20% cash and 80% 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;
$45,000 in accounts receivable; $4,500 in accounts payable; and a $5,000 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
15 of the month incurred and consist of sales commissions (10% of sales), office salaries
($4,000 per month), and rent ($6,500 per month).
Prepare a cash budget for each of the months of July, August, and September. (Round
amounts to the dollar.)
Please explain your work in detail and provide in-text citations. Include the initial situation
and the initial assumptions in your answer. At least 5 references are required among
which one should be the textbook as the source of the data.
