image is little blurred but data are perfectly visible you can answer thankudont give handwritten please thanku Cash budgetThe controller of Bridgeport Housewares Inc. instructs you to prepare a monthly cash budget for the next three months. You are presented with the following budget informationSeptember October November$148,000 $179,000 $244,00062,000 77,00088,00052,000 54,00093,00059,000The company expects to sell about 10% of its merchandise for cash. Of sales on account, 70% are expected to be collected in the month following the sale and the remainder the following month (secondmonth following sale). Depreciation, Insurance, and property tax expense represent $10,000 of the estimated monthly manufacturing costs. The annual insurance premium is paid in January, and theannual property taxes are paid in December of the remainder of the manufacturing costs, 80% are expected to be paid in the month in which they are incurred and the balance in the following month.Current assets as of September 1 include cash of $56,000, marketable securities of $80,000, and accounts receivable of $165,400 ($35,400 from July sales and $130,000 from August sales), Sales onaccount for July and August were $118,000 and $130,000, respectively. Current liabilities as of September 1 include $10,000 of accounts payable incurred in August for manufacturing costs. All selling andadministrative expenses are paid in cash in the period they are incurred. An estimated income tax payment of $21,000 will be made in October Bridgeport's regular quarterly dividend of $10,000 isexpected to be declared in October and paid in November Management desires to maintain a minimum cash balance of $55,000.Required:1. Prepare a monthly cash budget and supporting schedules for September, October, and November. Assume 360 days per year for interest calculations.Manufacturing costsSelling and administrative expensesCapital expenditures Bridgeport Housewares Inc.Cash BudgetFor the Three Months Ending November 30Line Item DescriptionEstimated cash receipts from:Total cash receiptsLess estimated cash payments for:Other purposes:Total cash paymentsCash balance at end of monthExcess or (deficiency)September October November380000000

The cash budget is prepared to estimate the cash requirements during the current period. In case of…

Cash budget The controller of Bridgeport Housewares Inc. instructs you to prepare a monthly cash budget for the next three months. You are presented with the following budget information September October November $148,000 $179,000 $244,000 Manufacturing costs 62,000 77,000 68,000 Selling and administrative expenses 52,000 54,000 93,000 Capital experdtures 59,000 The company expects to sell about 10% of its merchandise for cash Of sales on account, 70% are expected to be collected in the month following the sale and the remainder the following month (second month following sale). Depreciation, insurance, and property tax expense represent $10,000 of the estimated monthly manufacturing costs. The annual insurance premium is paid in January, and the annual property taxes are paid in December of the remainder of the manufacturing costs, 80% are expected to be paid in the month in which they are incurred and the balance in the following month Current assets as of September 1 include cash of $56,000, marketable securities of $80,000, and accounts receivable of $165,400 (535,400 from July sales and $130,000 from August sales) Sales on account for July and August were $118,000 and $130,000, respectively. Current liabilities as of September 1 include $10,000 of accounts payable incurred in August for manufacturing costs. All selling and administrative expenses are paid in cash in the period they are incurred. An estimated income tax payment of $21,000 will be made in October Bridgeport's regular quarterly dividend of $10,000 is expected to be declared in October and paid in November Management desires to maintain a minimum cash balance of $55,000 Sales

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q