Gamma Corp has prepared a preliminary cash budget for the third quarter as shown below

Cash Budget Jul Aug Sep
Beginning cash balance $32,000 $4,400 $6,900
Plus: Cash collections $49,400 $51,000 47,800
Cash available 81,400 $55,400 $54,700
Less: Cash payments:
Purchases of direct materials 36,000 9,000 10,000
Operating expenses 40,000 30,500 30,700
Capital expenditures 1,000 9,000 7,000
Ending cash balance $4,400 $6,900 $7,000

Subsequently, the marketing department revised its figures for cash collections. New data are as follows: $52,000 in July, $55,000 in August, and $42,000 in September. Based on the new data, calculate the new projected cash balance at the end of July.
A) $13,500
B) $4,400
C) $7,000
D) $7,800

C .C)
Cash Budget Jul Aug Sep
Beginning cash balance $32,000 $7,000 $13,500
Plus: Cash collections $52,000 $55,000 42,000
Cash available $84,000 $62,000 $55,500
Less: Cash payments:
Purchases of direct materials 36,000 9,000 10,000
Operating expenses 40,000 30,500 30,700
Capital expenditures 1,000 9,000 7,000
Ending cash balance $7,000 $13,500 $7,800