Hello. Help me to solve sub part (d) and (e) from this question QuestionBioGrow Sdn. Bhd is a retail fertilizer to farmers in Jitra. The company has approachedits Bankers to provide funding for next year's operations. In considering their fundingapplication, a three - month master budget has been requested for review by thebankers.As a freelance accounting service provider, you have been approached by themanagement as a consultant to prepare the 1st quarter budget for the banker'sconsideration for its next year's (2021) operations.Below is the information as at the end of accounting year of December 2020:DetailsRMDebtors23,00055,000BankFixed asset at cost698,00098,00048,00060,000Accumulated depreciationCreditorsOperating expenses for DecemberSales for DecemberEnding inventoryRetained earnings400,00020,000120,000The following additional information was also provided to assist your work.(i) Depreciation is provided at the rate of 5% on cost of non-current assets permonth.(i) Closing inventory is expected to increase by RM2000 in January from Decemberlevels. This is expected to increase by the same figure in February from theprojected figure in January. It is expected that in March closing inventory isdesired to be RM26,000The company makes a profit of 25% on its sales.(iv) Operating expenses is expected to increase by 10% from that of December inJanuary and this is projected to increase at the same growth rate until March.(v) Sales is projected to grow by 15% per month from December until March.(vi) Debtors figure at the end of the month is desired to be proportional to the salesvalues.(vii) Creditors value for the three months are expected to be as follows:January - RM50 000; February - RM46,000; March - RM52,0001 Prepare the following three-months (January to March 2021) budget as required bythe bankers.(a) The Cash Collection Schedule for sales(b) The Cash Payment Schedule for purchasesThe budgeted income statement(c)(d) The budgeted statement of financial position/ Balance Sheet(e) The cash budget

Budget: Budget is the planning and estimation of future expenditures and revenue firm is going to…

Question BioGrow Sdn. Bhd is a retail fertilizer to farmers in Jitra. The company has approached its Bankers to provide funding for next year's operations. In considering their funding application, a three - month master budget has been requested for review by the bankers. As a freelance accounting service provider, you have been approached by the management as a consultant to prepare the 1st quarter budget for the banker's consideration for its next year's (2021) operations. Below is the information as at the end of accounting year of December 2020: Details RM Debtors 23,000 Bank 55,000 698,000 Fixed asset at cost Accumulated depreciation 98,000 48,000 60,000 400,000 20,000 120,000 Creditors Operating expenses for December Sales for December Ending inventory Retained earnings The following additional information was also provided to assist your work. (0) Depreciation is provided at the rate of 5% on cost of non-current assets per month. Closing inventory is expected to increase by RM2000 in January from December levels. This is expected to increase by the same figure in February from the projected figure in January. It is expected that in March closing inventory is desired to be RM26,000 (iii) The company makes a profit of 25% on its sales. (iv) Operating expenses is expected to increase by 10% from that of December in January and this is projected to increase at the same growth rate until March. (v) Sales is projected to grow by 15% per month from December until March. (vi) Debtors figure at the end of the month is desired to be proportional to the sales values. (i) (vii) Creditors value for the three months are expected to be as follows: January - RM50 Q00; February - RM46,000; March - RM52,000

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q