Here are some important figures from the budget of Nashville Nougats, Inc.. for the second quarter of 2015. April May $319.000 $299,000 127.000 150,000 Credit sales Credit purchases Cash disbursements Wages, taxes, and expenses Interest Equipment purchases Beginning cash balance Cash receipts Cash collections from credit sales Total cash available Cash disbursements 43.900 10.900 79.000 The company predicts that 5 percent of its credit sales will never be collected. 35 percent of its sales will be collected in the month of the sale, and the remaining 60 percent will be collected in the following month. Credit purchases will be paid in the month following the purchase. Purchases Wages, taxes, and expenses Interest. Equipment purchases Total cash disbursements In March 2015, credit sales were $189.000 and credit purchases were $129,000. Using this information, complete the following cash budget: (Do not round intermediate calculations. Leave no cells blank-be certain to enter "0" wherever required.) Ending cash balance 11.400 10,900 148.000 $ $ June $359.000 175,000 62,900 10,900 0 April 122,000 S May June WILLYL
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.
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