32 33 The company has a line of credit available to bolster the cash balance as needed. 34 35 When preparing budgets, the company maintains their data on a separate sheet from the actual budget and schedules. 36 37 Click the Schedules and Cash Budget tab to prepare the following: 38 1. Schedule of expected cash collections for March. 39 40 41 42 43 2. Schedule of expected cash disbursements for inventory purchases for March. 3. Cashbudget for March. Indicate in the financing section any borrowing that will be needed in March. Assume that any interest will not be paid until the following month.
32 33 The company has a line of credit available to bolster the cash balance as needed. 34 35 When preparing budgets, the company maintains their data on a separate sheet from the actual budget and schedules. 36 37 Click the Schedules and Cash Budget tab to prepare the following: 38 1. Schedule of expected cash collections for March. 39 40 41 42 43 2. Schedule of expected cash disbursements for inventory purchases for March. 3. Cashbudget for March. Indicate in the financing section any borrowing that will be needed in March. Assume that any interest will not be paid until the following month.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
All answers must be in formulas
Transcribed Image Text:32
33 The company has a line of credit available to bolster the cash balance as needed.
34
35 When preparing budgets, the company maintains their data on a separate sheet from the actual budget and schedules.
36
37 Click the Schedules and Cash Budget tab to prepare the following:
38 1. Schedule of expected cash collections for March.
39
40
41
42
43
44
45
2. Schedule of expected cash disbursements for inventory purchases for March.
3. Cash budget for March. Indicate in the financing section any borrowing that will be needed in March. Assume that
any interest will not be paid until the following month.
<
▶
Budget Data
Schedules and Cash Budget
+ 4
Transcribed Image Text:1 S & P Enterprises needs a cash budget for March. The following information is available.
2
3 Data
4 Actual January and February and expected March sales:
5 Cash sales
6 Sales on account
7 Total Sales
8
9 Accounts Receivable Collections:
10 Month of sale
11
Month following sale
12 Second month following sale
Uncollectible
13
14
15 Accounts payable for inventory purchases, March 1 balance
16 Budgeted inventory purchases in March
17 Inventory payments:
18
Month of purchase
19 Month following purchase
20
21 Total budgeted selling & administrative expenses in March
22 Budgeted selling & administrative depreciation in March
23
24 Other budgeted cash disbursements in March
25 Equipment purchases
Dividends to be paid
26
27
28 Minimum cash balance to be maintained
29 March 1 cash balance
30 March 1 outstanding borrowings
31 March 1 interest due
32
◄
READY
Attempt(s)
Budget Data
January
15%
60%
22%
3%
3,750 $ 5,100
$ 1,600 $
25,000
30,000 40,000
$ 26,600 $ 33,750 $45.100
$10,500
$23,500
60%
40%
$12,500
$3,200
$14,000
$2,000
$10,000
$11,500
$0
$0
February
Schedules and Cash Budget
March
-F
H
Hint
10%
+
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