Below are the budgeted revenue and expenses for a restaurant for the year 2022. Revenue RM (*000) 71,250 Sales Expenses RM (*000) 28,500 4,200 17,100 Cost of supplies Salaries Wages Depreciation Repair and Maintenance 900 3,000 1,500 Advertisement Laundry 200 Interest on Loan 2,200 Miscellaneous expenses 2,300 Utilities 650 Below are the additional information given to you for further analysis: The expected pattern of sales for the year 2022 are as follows and it is the company policy to analyse based on quarters. Percentage of sales 24 Quarter 20 3 24 4 32 75% of the sales are on a cash basis and the balance will be received in the next quarter. The costs of supplies vary directly with sales and a constant stock value of supplies are kept. 20% of purchases of the food and drinks are for cash and the balance are paid during next quarter. 80% of the repairs and maintenance item is for a major redecoration to be paid in the third quarter. Wages, which are variable with sales, are paid in the same quarter which they are incurred. Utilities and interest on loan are paid half yearly in the first and third quarters. All other expense payments are made evenly over the year. Below are the opening balances: RM (*000) 4,750 7,050 800 Items Trade receivables Trade payables Bank overdraft Required: Prepare a tabular form of the cash budget for the four quarters of the year 2022.
Below are the budgeted revenue and expenses for a restaurant for the year 2022. Revenue RM (*000) 71,250 Sales Expenses RM (*000) 28,500 4,200 17,100 Cost of supplies Salaries Wages Depreciation Repair and Maintenance 900 3,000 1,500 Advertisement Laundry 200 Interest on Loan 2,200 Miscellaneous expenses 2,300 Utilities 650 Below are the additional information given to you for further analysis: The expected pattern of sales for the year 2022 are as follows and it is the company policy to analyse based on quarters. Percentage of sales 24 Quarter 20 3 24 4 32 75% of the sales are on a cash basis and the balance will be received in the next quarter. The costs of supplies vary directly with sales and a constant stock value of supplies are kept. 20% of purchases of the food and drinks are for cash and the balance are paid during next quarter. 80% of the repairs and maintenance item is for a major redecoration to be paid in the third quarter. Wages, which are variable with sales, are paid in the same quarter which they are incurred. Utilities and interest on loan are paid half yearly in the first and third quarters. All other expense payments are made evenly over the year. Below are the opening balances: RM (*000) 4,750 7,050 800 Items Trade receivables Trade payables Bank overdraft Required: Prepare a tabular form of the cash budget for the four quarters of the year 2022.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Below are the budgeted revenue and expenses for a restaurant for the year 2022.
RM ('000)
71,250
Revenue
Sales
Expenses
RM ('000)
28,500
Cost of supplies
Salaries
4,200
Wages
Depreciation
Repair and Maintenance
17,100
900
3,000
Advertisement
1,500
Laundry
Interest on Loan
200
2,200
Miscellaneous expenses
2,300
650
Utilities
Below are the additional information given to you for further analysis:
The expected pattern of sales for the year 2022 are as follows and it is the
company policy to analyse based on quarters.
Quarter
Percentage of sales
1
24
2
20
3
24
4
32
75% of the sales are on a cash basis and the balance will be received in the
next quarter.
The costs of supplies vary directly with sales and a constant stock value of
supplies are kept. 20% of purchases of the food and drinks are for cash and the
balance are paid during next quarter.
80% of the repairs and maintenance item is for a major redecoration to be paid
in the third quarter.
Wages, which are variable with sales, are paid in the same quarter which they
are incurred.
Utilities and interest on loan are paid half yearly in the first and third quarters.
All other expense payments are made evenly over the year.
Below are the opening balances:
RM ('000)
4,750
7,050
800
Items
Trade receivables
Trade payables
Bank overdraft
Required:
Prepare a tabular form of the cash budget for the four quarters of the year 2022.
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