Following information relates to acco co. a. beginning cash balance on july 1: $35,000.b. cash receipts from sales: 24% is collected in the month of sale, 50% in the next month, and 26% in the second month after sale (uncollectible accounts are negligible and can be ignored). sales amounts are: may (actual), $1,204,000; june (actual), $840,000; and july (budgeted), $980,000.c. payments on merchandise purchases: 48% in the month of purchase and 52% in the month following purchase. purchases amounts are: june (actual), $301,000; and july (budgeted), $600,000.d. budgeted cash disbursements for salaries in july: $147,700.e. budgeted depreciation expense for july: $8,400.f. other cash expenses budgeted for july: $105,000.g. accrued income taxes due in july: $80,000 (related to june).h. bank loan interest paid july 31: $4,620. additional information: a. cost of goods sold is 35% of sales. b. inventory at the end of june is $56,000 and at the end of july is $313,000.c. salaries payable on june 30 are $35,000 and are expected to be $28,000 on july 31.d. the equipment account balance is $1,120,000 on july 31. on june 30, the accumulated depreciation on equipment is $196,000.e. the $4,620 cash payment of interest represents the 1% monthly expense on a bank loan of $462,000.f. income taxes payable on july 31 are $132,398, and the income tax rate applicable to the company is 35%.g. the only other balance sheet accounts are: common stock, with a balance of $482,520 on june 30; and retained earnings, with a balance of $750,400 on june 30. prepare a budgeted income statement for the month of july and a budgeted balance sheet for july 31.a. calculation of cash receipts from sales: total sales may june july accounts rec. credit sales from: may 1,204,000 june 840,000 july 980,000 totals 3,024,000 b. calculation of cash payments for merchandise: total purchases june july accounts pay. purchases from: june 301,000 july 600,000 totals 901,000 c. acco companybudgeted income statementfor month ended july 31operating expenses total operating expenses d. acco companybudgeted balance sheetas of july 31assets liabilities & equity liabilities stockholders' equity