The following data are monthly purchases and sales of Avada Company. 40% of purchases is paid in cash at the time of purchase, and 30% is paid in each of the next 2 months. Purchases for the previous January and February were \$150,000 per month. Payroll is 10% of sales in the month it occurs, and operating expenses are 20% of the following month's sales (September sales were \$220,000). Interest expenses were \$20,000 paid quarterly in March and June. Avada's cash disbursements for the month of June were
Purchase Sales
March \$160,000 \$100,000
April \$160,000 \$200,000
May \$160,000 \$240,000
June \$140,000 \$300,000
July \$140,000 \$260,000
August \$120,000 \$240,000