Homework Help is Here – Start Your Trial Now!
Business
Accounting
5. Prepare the cash budget of Khan LLC, for April to June 2015 from the following information. 1. Estimated Sales, Purchases and expenses are as follows:- January February March April May June OMR OMR OMR OMR OMR OMR Sales 200,000.000 400,000.000 600,000.000 800,000.000 1,000,000.000 1,200,000.000 Purchases 152,000.000 306,000.000 460,000.000 608,000.000 756,000.000 904,000.000 24,000.000 30,000.000 30,000.000 40,000.000 30,000.000 50,000.000 72,000.000 80,000.000 100,000.000 Wages 36,000.000 48,000.000 60,000.000 Admin -Expenses 50,000.000 60,000.000 70,000.000 Selling & Dust. Exp 70,000.000 90,000.000 110,000.000 2. Cash sale are 20% of total sales. 3. 50% of credit sales are collected within one month and the balance in two months 4. Cash purchases are 25% of Total purchases. 5. 50% of credit purchases are paid within one month and the balance in two months 6. Commission on sales -10% 7. The time lag in the payments of wages is one third (1/3) of the month and that of Admin. Expenses one month. 8. Admin Expenses for each month include deprecation amounting to OMR.10,000. 9. 12% OMR.200,000. Debentures of OMR.10 each were issued on 1* jan.( Half yearly interest deu on 30th June & 31* December ) 10. 36,000 Equity share of OMR.10 each were issued on 1* May at 5% premium. 11. Cash balance at the end of March. OMR.400,000. Required: Prepare a monthly Cash budget for Khan LLC for April to June 2015

5. Prepare the cash budget of Khan LLC, for April to June 2015 from the following information. 1. Estimated Sales, Purchases and expenses are as follows:- January February March April May June OMR OMR OMR OMR OMR OMR Sales 200,000.000 400,000.000 600,000.000 800,000.000 1,000,000.000 1,200,000.000 Purchases 152,000.000 306,000.000 460,000.000 608,000.000 756,000.000 904,000.000 24,000.000 30,000.000 30,000.000 40,000.000 30,000.000 50,000.000 72,000.000 80,000.000 100,000.000 Wages 36,000.000 48,000.000 60,000.000 Admin -Expenses 50,000.000 60,000.000 70,000.000 Selling & Dust. Exp 70,000.000 90,000.000 110,000.000 2. Cash sale are 20% of total sales. 3. 50% of credit sales are collected within one month and the balance in two months 4. Cash purchases are 25% of Total purchases. 5. 50% of credit purchases are paid within one month and the balance in two months 6. Commission on sales -10% 7. The time lag in the payments of wages is one third (1/3) of the month and that of Admin. Expenses one month. 8. Admin Expenses for each month include deprecation amounting to OMR.10,000. 9. 12% OMR.200,000. Debentures of OMR.10 each were issued on 1* jan.( Half yearly interest deu on 30th June & 31* December ) 10. 36,000 Equity share of OMR.10 each were issued on 1* May at 5% premium. 11. Cash balance at the end of March. OMR.400,000. Required: Prepare a monthly Cash budget for Khan LLC for April to June 2015

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
See similar textbooks
icon
Related questions
icon
Concept explainers
Question
5. Prepare the cash budget of Khan LLC, for April to June 2015 from the following information. 1. Estimated Sales, Purchases and expenses are as follows:- January February March April May June OMR OMR OMR OMR OMR OMR Sales 200,000.000 400,000.000 600,000.000 800,000.000 1,000,000.000 1,200,000.000 Purchases 152,000.000 306,000.000 460,000.000 608,000.000 756,000.000 904,000.000 24,000.000 30,000.000 30,000.000 40,000.000 30,000.000 50,000.000 72,000.000 80,000.000 100,000.000 Wages 36,000.000 48,000.000 60,000.000 Admin -Expenses 50,000.000 60,000.000 70,000.000 Selling & Dust. Exp 70,000.000 90,000.000 110,000.000 2. Cash sale are 20% of total sales. 3. 50% of credit sales are collected within one month and the balance in two months 4. Cash purchases are 25% of Total purchases. 5. 50% of credit purchases are paid within one month and the balance in two months 6. Commission on sales -10% 7. The time lag in the payments of wages is one third (1/3) of the month and that of Admin. Expenses one month. 8. Admin Expenses for each month include deprecation amounting to OMR.10,000. 9. 12% OMR.200,000. Debentures of OMR.10 each were issued on 1* jan.( Half yearly interest deu on 30th June & 31* December ) 10. 36,000 Equity share of OMR.10 each were issued on 1* May at 5% premium. 11. Cash balance at the end of March. OMR.400,000. Required: Prepare a monthly Cash budget for Khan LLC for April to June 2015
Transcribed Image Text:5. Prepare the cash budget of Khan LLC, for April to June 2015 from the following information. 1. Estimated Sales, Purchases and expenses are as follows:- January February March April May June OMR OMR OMR OMR OMR OMR Sales 200,000.000 400,000.000 600,000.000 800,000.000 1,000,000.000 1,200,000.000 Purchases 152,000.000 306,000.000 460,000.000 608,000.000 756,000.000 904,000.000 24,000.000 30,000.000 30,000.000 40,000.000 30,000.000 50,000.000 72,000.000 80,000.000 100,000.000 Wages 36,000.000 48,000.000 60,000.000 Admin -Expenses 50,000.000 60,000.000 70,000.000 Selling & Dust. Exp 70,000.000 90,000.000 110,000.000 2. Cash sale are 20% of total sales. 3. 50% of credit sales are collected within one month and the balance in two months 4. Cash purchases are 25% of Total purchases. 5. 50% of credit purchases are paid within one month and the balance in two months 6. Commission on sales -10% 7. The time lag in the payments of wages is one third (1/3) of the month and that of Admin. Expenses one month. 8. Admin Expenses for each month include deprecation amounting to OMR.10,000. 9. 12% OMR.200,000. Debentures of OMR.10 each were issued on 1* jan.( Half yearly interest deu on 30th June & 31* December ) 10. 36,000 Equity share of OMR.10 each were issued on 1* May at 5% premium. 11. Cash balance at the end of March. OMR.400,000. Required: Prepare a monthly Cash budget for Khan LLC for April to June 2015
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps with 4 images

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Budgeting
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS