Please prepare a cash budget for the Maliwan Co. for the month of April based on the following information: -Estimated cash balance at the end of March was $ 200,000 -April’s depreciation will be $50,000 -Taxes which will be paid in June are $175,000 -April’s payroll will be $90,000 -April had insurance expense in April of $40,000 while insurance costs for the entire year were prepaid in January. -April’s operating expense are $75,000 -Collections of sales are as follows: 50% in the month of the sale, 30% in the following month, and 20% in the next month. -Receivables balance as of the end of March is $400,000 ( $300,000 relating to March, $100,000 relating to February ). -Sales for the month of April are forecasted to be $900,000 -Merchandise purchases are paid as follows: 50% in the month of the purchase, 25% in the next month, and 25% one month later. -Purchases for March and February were $300,000 and $250,000 respectively and April’s purchases are estimated to be $200,000
Please prepare a
-Estimated cash balance at the end of March was $ 200,000
-April’s
-Taxes which will be paid in June are $175,000
-April’s payroll will be $90,000
-April had insurance expense in April of $40,000 while insurance costs for the entire year were prepaid in January.
-April’s operating expense are $75,000
-Collections of sales are as follows: 50% in the month of the sale, 30% in the following month, and 20% in the next month.
-Receivables balance as of the end of March is $400,000 ( $300,000 relating to March, $100,000 relating to February ).
-Sales for the month of April are
-Merchandise purchases are paid as follows: 50% in the month of the purchase, 25% in the next month, and 25% one month later.
-Purchases for March and February were $300,000 and $250,000 respectively and April’s purchases are estimated to be $200,000
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