Crane Company is preparing a cash payments budget. Below is a schedule of financial data that will be used to prepare the budget. What is the cash payments budget for November? September October November December Purchases $30,278 $71,312 $45,829 Cash Operating Costs $4,846 $8,353 $9,921 Cash paid for new equipment $1,134 $2,291 $3,873 Accounts Payable at End of Month $11,525 Purchases are paid for as follows: In Month of Purchase 60% In Month After Purchase 40% Enter your answer to the nearest whole dollar.
Master Budget
A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.
Sales Budget and Selling
A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.
Crane Company is preparing a
Below is a schedule of financial data that will be used to prepare the budget.
What is the cash payments budget for November?
|
|
September |
October |
November |
December |
|
Purchases |
|
$30,278 |
$71,312 |
$45,829 |
|
Cash Operating Costs |
|
$4,846 |
$8,353 |
$9,921 |
|
Cash paid for new equipment |
|
$1,134 |
$2,291 |
$3,873 |
|
Accounts Payable at End of Month |
$11,525 |
|
|
|
Purchases are paid for as follows:
|
In Month of Purchase |
60% |
|
In Month After Purchase |
40% |
Enter your answer to the nearest whole dollar.
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