D2. b. Prepare a schedule of monthly cash payments for January, February and MarchJim Daniels Health ProductsCash Payments ScheduleJanuaryPayments for purchases iLabour expenseselling and administrative expenseOverheadTaxesDividendsTotal cash paymentsTotal cash receiptsTotal cash paymentsNet cash flowBeginning cash balance.Cumulative cash balanceM1TTLYFebruary$c. Prepare a schedule of monthly cash budget with borrowings and repayments for January, February and March. (Do not leave anyempty spaces: input a O wherever it is required. Negative answers and amounts to be deducted should be indicated by a minussign.)Jin Daniels Health ProductsCash BudgetJanuary$February$MarchMarch$$ Jim Daniels Health Products has eight stores. The firm wants to expand by two more stores and needs a bank loan to do this. Mr.Hewitt, the banker, will finance construction if the firm can present an acceptable three-month financial plan for January throughMarch. Following are actual and forecasted sales figures:ActualForecastNovemberDecember$220,000240,000Salescredit salesCash salesJanuaryFebruaryMarchAdditional Information$300,000 April forecast $350,000340,000360,000Of the firm's sales, 30 percent are for cash and the remaining 70 percent are on credit. Of credit sales, 25 percent are paid in themonth after sale and 75 percent are paid in the second month after the sale. Materials cost 40 percent of sales and are purchased andreceived each month in an amount sufficient to cover the current month's expected sales. Materials are paid for in the month they arereceived. Labour expense is 30 percent of sales and is peld in the month of sales. Selling and administrative expense is 4 percent ofsales and is also paid in the month of sales. Overhead is $28.500 in cash per month, amortization expense is $10.100 per month Taxesof $8.100 will be paid in January and dividends of $2,500 will be paid in March. Cash at the beginning of January is $82.000 and theminimum desired cash balance is $77,000.a. Prepare a schedule of monthly cash receipts for January, February and MarchCollections in the month after credit salesCollections two months after credit salestotal cash receiptsVia Daniels Health ProductsCash Receipts scheduleNovemberDecemberJanuaryFebruaryMarchApril

An organization's anticipated cash inflows and outflows for a certain time, usually a month or a…

Jim Daniels Health Products has eight stores. The firm wants to expand by two more stores and needs a bank loan to do this. Mr Hewitt, the banker, will finance construction if the firm can present an acceptable three-month financial plan for January through March. Following are actual and forecasted sales figures: Actual November December Forecast Sales credit sales Cash sales $220,000 January 240,000 February March $300,000 340,000 360,000 Of the firm's sales, 30 percent are for cash and the remaining 70 percent are on credit. Of credit sales, 25 percent are paid in the month after sale and 75 percent are paid in the second month after the sale. Materials cost 40 percent of sales and are purchased and received each month in an amount sufficient to cover the current month's expected sales. Materials are paid for in the month they are received. Labour expense is 30 percent of sales and is paid in the month of sales. Selling and administrative expense is 4 percent of sales and is also paid in the month of sales. Overhead is $28.500 in cash per month, amortization expense is $10.100 per month Taxes of $8,100 will be paid in January and dividends of $2,500 will be paid in March. Cash at the beginning of January is $82.000 and the minimum desired cash balance is $77,000. a. Prepare a schedule of monthly cash receipts for January, February and March Additional Information April forecast $350,000 Collections in the month after credit sales. Collections two months after credit sales total cash receipts Jis Daniels Health Products Cash Receipts schedule. November December January February March Apri

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q