Best Burgers Corporation seeks your assistance in developing cash and other budget information for May, June, and July. At April 30, the company had cash of $5,500, accounts receivable of $437,000, inventories of $309,400, and accounts payable of $133,055. The budget is to be based on the following assumptions:
Sales
_ Each month€™s sales are billed on the last day of the month.
_ Customers are allowed a 3 percent discount if payment is made within 10 days after the billing date. Receivables are recorded in the accounts at their gross amounts (not net of discounts).
_ The billings are collected as follows: 60 percent within the discount period, 25 percent by the end of the month, and 10 percent by the end of the second month. Five percent of billed sales are uncollectable.
Purchases
_ Of all purchases of merchandise and selling, general, and administrative expenses, 60 percent is paid in the month purchased and the remainder in the following month.
_ The number of units in each month€™s ending inventory equals 120 percent of the next month€™s units of sales.
_ The cost of each unit of inventory is $20.
_ Selling, general, and administrative expenses, of which $2,000 is depreciation, equal 15 percent of the current month€™s sales.
Actual and projected sales follow:

a. Budgeted purchases in dollars for May are_______________________
b. Budgeted purchases in dollars for June are_______________________
c. Budgeted cash collections during May are _______________________
d. Budgeted cash disbursements during June are ______________________
e. The budgeted number of units of inventory to be purchased during July is _________.

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Dollars Units 11,800 12,100 11,900 11,400 12,000 12,200 March.. April. S354,000 363,000 357,000 342,000 360,000 366,000 June July