Wildhorse Company expects to have a cash balance of $52,100 on January 1, 2022. These are the relevant monthly budget data for the first two months of 2017. 1. Collections from customers: January $90,000, February $134,200 2. Payments to suppliers: January $45,500, February $51,000 3. Wages: January $35,000, February $41,000. Wages are paid in the month they are incurred. 4. Administrative expenses: January $25,000, February $31,400. These costs include depreciation of $2,300 per month. All other costs are paid as incurred. 5. Selling expenses: January $19.900, February $23,400. These costs are exclusive of depreciation. They are paid as incurred. 6. Sales of short-term investments in January are expected to realize $14,400 in cash. Wildhorse has a line of credit at a local bank that enables it to borrow up to $43,300. The company wants to maintain a minimum monthly cash balance of $26,000. Prepare a cash budget for January and February. (Do not leave any answer field blank. Enter O for amounts.) WILDHORSE COMPANY Cash Budget For the Months Ending January 30 and February 28, 2022 January February

Wildhorse Company expects to have a cash balance of $52,100 on January 1, 2022. These are the relevant monthly budget data for the first two months of 2017. 1. Collections from customers: January $90,000, February $134,200 2. Payments to suppliers: January $45,500, February $51,000 3. Wages: January $35,000, February $41,000. Wages are paid in the month they are incurred. 4. Administrative expenses: January $25,000, February $31,400. These costs include depreciation of $2,300 per month. All other costs are paid as incurred. 5. Selling expenses: January $19.900, February $23,400. These costs are exclusive of depreciation. They are paid as incurred. 6. Sales of short-term investments in January are expected to realize $14,400 in cash. Wildhorse has a line of credit at a local bank that enables it to borrow up to $43,300. The company wants to maintain a minimum monthly cash balance of $26,000. Prepare a cash budget for January and February. (Do not leave any answer field blank. Enter O for amounts.) WILDHORSE COMPANY Cash Budget For the Months Ending January 30 and February 28, 2022 January February

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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