3.3 Tutorial Questions 3.3.1 Cash Budget 1. A firm reported actual sales of RM65,000 in the month of June and RM70,000 in July. The sales forecasts indicate that sales are expected to be RM85,000, RM92,000 and RM95,750 for the months of August, September and October, respectively. Sales are 60% cash and 40% credit and credit sales are collected evenly over the following 2 month. No other cash receipts were received. What are the firm's expected cash receipts for the month August, September and October? cash disbursement

3.3 Tutorial Questions 3.3.1 Cash Budget 1. A firm reported actual sales of RM65,000 in the month of June and RM70,000 in July. The sales forecasts indicate that sales are expected to be RM85,000, RM92,000 and RM95,750 for the months of August, September and October, respectively. Sales are 60% cash and 40% credit and credit sales are collected evenly over the following 2 month. No other cash receipts were received. What are the firm's expected cash receipts for the month August, September and October? cash disbursement

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Rakesh Don't upload image please
2. Cash Receipts Budget and Accounts Receivable Aging Schedule Shalimar Company manufactures and sells industrial products. For next year, Shalimar has budgeted the following sales: Quarter 1 $4,620,000 Quarter 2 5,610,000 Quarter 3 1,190,000 Quarter 4 7,840,000 In Shalimar’s experience, 10 percent of sales are paid in cash. Of the sales on account, 65 percent are collected in the quarter of sale, 25 percent are collected in the quarter following the sale, and 7 percent are collected in the second quarter after the sale. The remaining 3 percent are never collected. Total sales for the third quarter of the current year are $5,640,000 and for the fourth quarter of the current year are $7,320,000. Required: Question Content Area 1. Calculate cash sales and credit sales expected in the last two quarters of the current year, and in each quarter of next year. Quarter Cash Sales Credit Sales 3, current year $fill in the blank 0b62a1fb700f07d_1 $fill in the blank…
Problem 5 Prepare a cash budget by month for the month quarter ending September 30, 2009, from the following data obtained from the Peninsula Co. Support your solution with schedules of estimated receipts & payments. August P 16,000 150,000 120,000 18,000 2,000 July P 12,000 110.000 90,000 Operating Expenses 15,000 September P 18,000 120,000 110,000 16,000 Cash sales Credit sales Purchases Interest expense Credit are collected 50% in the month of sales. 40% in the month following, 8% in the second month following and 2% uncollectible. Credit sales for May and June are expected to be P100,000 and P90,000 respectively. Purchases of merchandise, all on account are paid 60% in the month of purchase and 40% in the month fallowing. Purchase for June are estimated at 80,000 are paid in the month incurred. Cash balance on June 30, 2009 is P27,000.
QUESTION 1 Ginobili has forecast sales to be $120100 in February, $151200 in March, $162700 in April, and $174000 in May. 24% of sales are on made on credit, the rest are for cash. The sales on credit are collected 40% in the month of sale, and 60% the month following. What are the total budgeted cash receipts in April?
Accounting Consider the following third-quarter budget data for TAP & Brothers: TAP & Brothers Third-Quarter Budget Data July August September Credit Sales 256,167 262,962 282,872 Credit Purchases 97,465 111,565 137,292 Wages, Taxes, and Expenses 26,506 31,621 33,707 Interest 7,239 7,773 8,091 Equipment Purchases 54,832 61,271 0 The company predicts that 4% of its credit sales will never be collected, 30% of its sales will be collected in the month of the sale, and the remaining 66% will be collected in the following month. Credit purchases will be paid in the month following the purchase. In June, credit sales were $138,282, and credit purchases were $102,770 July’s beginning cash is $184,797 If TAP maintains a policy of always keeping a minimum cash balance of $75,000 as a buffer against uncertainty and forecasting errors, what is the cash surplus/deficit at the end of the quarter (i.e., end of…
3. Question Content Area Cash Budget Khloe Company imports gift items from overseas and sells them to gift shops and department stores throughout the United States. Khloe Company provided the following information: The October 31 balance in the cash account is $54,115. All sales are on account. Sales in September were $980,000 and in October were $1,260,000. November sales are expected to be $2,175,000. In Khloe’s experience, 70 percent of sales are collected in the month of sale and 26 percent are collected in the month following sale. The remaining credit sales are uncollectible. Khloe purchases all merchandise on account. Purchases in September were $730,000 and in October were $950,000. November purchases are expected to be $2,030,000 as Khloe prepares for the Christmas buying season. Fifteen percent of purchases are paid in the month of purchase, while the remainder is paid in the month following the purchase month. Khloe Company has nine employees who are paid a total of…
1
Please do not give solution in image format thanku
Problem 01:4 ZYX has total sales for June and July of $30,000 and $25,000, respectively. Cash sales are normally 40% of total sales. Of the credit sales, 40% are collected in the same month as the sale, 50% are collected during the first month after the sale, and the remaining 10% are collected in the second month. Determine the amount of accounts receivable reported on the company's budgeted balance sheet as of July 31.
Problem 6 Tomtom store seeks your assistance to develop cash and other budget information for May, June, and July 2009. On April 30, 2009, the company had cash balance of Php5,500. The budget is based on the following assumptions: A. Sales 1. Each month's sales are billed on the last day of the month 2. Customers are allowed 3% discount if payment is made within 10 days after the billing date. Accounts receivable are booked gross. 3. Sixty percent of the billings are collected within the discount period, 25% are collected by the end of the month where discount period is allowed, 9% are collected by the end of the end second month, and 6% prove uncollectible. B. Purchases 1. 54% of all purchases of materials and selling, general and administrative expenses are paid at the month purchased and the remainder in the following month. 2. Each month's unit of ending inventory is equal to 130% of the month's units of sales. 3. The cost of each unit of inventory is P20. 4. Selling, general and…
Question 2 A. The Rilex and Chill Coffee Shop has requested a cash budget for August. After examining the records of the company, you find the following: 1. Cash balance on 1 August is RM43,280. 2. Actual sales for June and July are as follows: June RM Cash sales Credit sales Total sales 10,200 26,100 36,300 July RM 14,700 33,900 48,600 3. Credit sales are collected over three months: 30% in the month of sales, 40% in the second month, and 25% in the third month. The customers who paid in the month of sales are qualified for 3% discounts on the amount owed. While the sales collected in the third month are subject to a 2% late fee, which is paid by those customers in addition to what they owe. The remaining sales are uncollectible. 4. Inventory purchases average 80% of a month's total sales. Of those purchases, 60% are paid for in the month of purchase. The remaining 40% is paid for in the following month. 5. Salaries and wages total RM13,800 per month. 6. The company received interest…
Complete g cash budget table please and thank you