Conner Company is a medium-sized toy distributor. Experience has shown that 30% of sales are collected within the month of sale, 60% is collected the month after the sale, and 10% is collected two months after the sale. Inventory on hand at the end of a month is to be 70% of the next month's budgeted sales. Cost of goods sold is 50% of the selling price. Payment for purchases is made in the month after purchase. All other costs are paid in the month incurred. Budgeted amounts are as follows:

March April May June July August Sales $10,000 $20,000 $30,000 $30,000 $50,000 $40,000 Costs: Wages 1,500 2,000 2,500 1,500 Rent 500 500 500 500 Other 400 500 600 500