Here are some important figures from the budget of Red Barchetta, Inc., for the second quarter of 2010:

The company predicts that 5 percent of its credit sales will never be collected, 35 percent of its sales will be collected in the month of the sale, and the remaining 60 percent will be collected in the following month. Credit purchases will be paid in the month following the purchase.

In March 2010, credit sales were $325,000. Using this information, complete the following cash budget:

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June April May Credit sales $398,000 $347,000 163,000 $435,000 196,000 Credit purchases Cash disbursements Wages, taxes, and expenses 175,000 79,300 9,000 74,800 9,000 103,500 9,000 143,000 Interest Equipment purchases 31,000 3,500 April May June Beginning cash balance Cash receipts Cash collections from credit sales $105,000 Total cash available Cash disbursements Purchases 167,000 Wages, taxes, and expenses Interest Equipment purchases Total cash disbursements Ending cash balance