Please don't give image format !Required information[The following information applies to the questions displayed below.]Built-Tight is preparing its master budget. Budgeted sales and cash payments follow:Budgeted salesBudgeted cash payments forDirect materialsDirect laborOverheadBeginning cash balanceTotal cash availableLess: Cash payments forTotal cash paymentsPreliminary cash balanceLoan activityAdditional loanRepayment of loan to bankEnding cash balanceSales to customers are 20% cash and 80% on credit. Sales in June were $54,500. All credit sales are collected in themonth following the sale. The June 30 balance sheet includes balances of $43,000 in cash and $4,600 in loans payable.A minimum cash balance of $43,000 is required. Loans are obtained at the end of any month when the preliminary cashbalance is below $43,000. Interest is 1% per month based on the beginning-of-the-month loan balance and is paid at eachmonth-end. Any preliminary cash balance above $43,000 is used to repay loans at month-end. Expenses are paid in themonth incurred and consist of sales commissions (10% of sales), office salaries ($3,600 per month), and rent ($6,100 permonth).Loan balance - Beginning of monthAdditional loan (loan repayment)Loan balance - End of monthJuly$ 57,0002. Prepare a cash budget for the months of July, August, and September. (Negative balances and Loan repayment amounts (if any)should be indicated with minus sign. Enter your final answers in whole dollars.)BUILT-TIGHTCash BudgetJuly15,7603,64019,800Loan balanceJulyAugust$ 73,000August13,0402,96016,400AugustSeptember$ 55,00013,3603,04016,800SeptemberSeptember

Lets understand the basics.Budget is prepared by management in order to estimate future profit and…

Built-Tight is preparing its master budget. Budgeted sales and cash payments follow: September $ 55,000 Budgeted sales Budgeted cash payments for Direct materials Direct labor Overhead July $ 57,000 August $ 73,000 15,760 13,040 3,640 2,960 19,800 16,400 Sales to customers are 20% cash and 80% on credit. Sales in June were $54,500. All credit sales are 13,360 3,040 16,800