Slim Corp. requires a minimum $8,000 cash balance. If necessary, loans are taken to meet this requirement at a cost of 1% interest per month (paid monthly). Loans are repaid at month's end from any excess cash. The cash balance on July 1 is $8,400. Cash receipts other than loans received for July, August, September are forecasted as $24,00, $32,000 and $40,000 respectively. Payments other than for loan or interest payments for the same period are planned at $28,000, $30,000, and $32,000 respectively at July 1, there are no outstanding loans.

We are required to prepare a cash budget for july, august, and september.

I have no idea how to do this.. any help would be great! thanks!