Please do not give solution in image format thanku Oneida Company's operations began in August. August sales were $180,000 and purchases were $120,000. The beginning cashbalance for september is $30,500. Oneida's owner approaches the bank for a $102,500 loan to be made on September 2 and repaidon November 30. The bank's loan officer asks the owner to prepare monthly cash budgets. Its budgeted sales, merchandisepurchases, and cash payments for other expenses for the next three months follow.BudgetedSalesMerchandise purchasesCash paymentsSalariesRentSeptember$ 210,000235,000InsuranceRepayment of loanInterest on loanOctober$445,000220,00030,6009,0004,9001,0251. Schedule of cash receipts from sales2. Schedule of cash payments for direct materials.3. Cash budget.November$ 480,000195,00030,6009,0004,9001,025All sales are on credit where 75% of credit sales are collected in the month following the sale, and the remaining 25% collected in thesecond month following the sale. All merchandise is purchased on credit; 85% of the balance is paid in the month following apurchase, and the remaining 15% is paid in the second month.30,6009,0004,900102,5001,025Required:Prepare the following for the months of September, October, and November.

Cash budget is the firm's estimation of cash inflows and outflows over a period of time. it is used…

Oneida Company's operations began in August. August sales were $180,000 and purchases were $120,000. balance for september is $30,500. Oneida's owner approaches the bank for a $102,500 loan to be made on September 2 and repaid on November 30. The bank's loan officer asks the owner to prepare monthly cash budgets. Its budgeted sales, merchandise purchases, and cash payments for other expenses for the next three months follow. Budgeted Sales Merchandise purchases Cash payments Salaries Rent Insurance Repayment of loan Interest on loan September $ 210,000 235,000 30,600 9,000 4,900 1,025 October $445,000 220,000 30,600 9,000 4,900 November $ 480,000 195,000 30,600 9,000 4,900 102,500 1,025 1,025 All sales are on credit where 75% of credit sales are collected in the month following the sale, and the remaining 25% collected in the second month following the sale. All merchandise is purchased on credit; 85% of the balance is paid in the month following a purchase, and the remaining 15% is paid in the second month.

Oneida Company's operations began in August. August sales were $180,000 and purchases were $120,000. balance for september is $30,500. Oneida's owner approaches the bank for a $102,500 loan to be made on September 2 and repaid on November 30. The bank's loan officer asks the owner to prepare monthly cash budgets. Its budgeted sales, merchandise purchases, and cash payments for other expenses for the next three months follow. Budgeted Sales Merchandise purchases Cash payments Salaries Rent Insurance Repayment of loan Interest on loan September $ 210,000 235,000 30,600 9,000 4,900 1,025 October $445,000 220,000 30,600 9,000 4,900 November $ 480,000 195,000 30,600 9,000 4,900 102,500 1,025 1,025 All sales are on credit where 75% of credit sales are collected in the month following the sale, and the remaining 25% collected in the second month following the sale. All merchandise is purchased on credit; 85% of the balance is paid in the month following a purchase, and the remaining 15% is paid in the second month.

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter8: Budgeting

Section: Chapter Questions

Problem 17E

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