Question 4Use the information provided below to prepare the following for January and February 2023:4.1 Debtors Collection Schedule4.2 Cash BudgetINFORMATIONThe following information was provided by Intel Enterprises:1. The bank balance on 31 December 2022 is expected to be R40 000 (unfavourable).2. Credit sales are expected to be as follows:December 2022January 2023R576 000R540 0003. Credit sales usually make up 40% of the total sales. Cash sales make up the balance. Cash customersreceive a 10% discount.* 65% in the following monthThe rest is usually written off as bad debts.5. Budgeted purchases of inventory are as follows:December 2022January 2023R1 000 000February 20234. Credit sales are normally collected as follows:* 30% in the month in which the transaction takes place, and these customers are entitled to a 5%discount.R648 000R800 000February 2023R920 0006. Fifty percent (50%) of the purchases are for cash. The remainder is paid in the month after thepurchase.7. The monthly salaries amount to R150 000. Salaries are expected to increase by 9% with effect from 01February 2023 for those employees who presently make up 80% of the salary bill. The salaries of theremaining 20% are expected to increase by 6%.8. Interest at 18% per annum on the loan balance is paid at the end of each month. The loan balance on31December 2022 was R400 000 and a capital repayment of R100 000 will be made on 01 February 2023.9. Part of the building is sublet to a tenant and rent is collected monthly. The lease agreement for theyearended 31 January 2023 reflected the rental as R180 000 per annum. The rental will increase by 10% witheffect from 01 February 2023.10. Other operating expenses are budgeted at R40 000 per month. This amount includes R5 000 fordepreciation. Operating expenses are paid for in the month in which they are incurred.

Name: Question 4Use the information provided below to prepare the following
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Description: Question 4Use the information provided below to prepare the following for January and February 2023:4.1 Debtors Collection Schedule4.2 Cash BudgetINFORMATIONThe following information was provided by Intel Enterprises:1. The bank balance on 31 Decemb

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Question 4 Use the information provided below to prepare the following for January and February 2023: 4.1 Debtors Collection Schedule 4.2 Cash Budget INFORMATION The following information was provided by Intel Enterprises: 1. The bank balance on 31 December 2022 is expected to be R40 000 (unfavourable). 2. Credit sales are expected to be as follows: December 2022 January 2023 R576 000 R540 000 February 2023 R648 000 3. Credit sales usually make up 40% of the total sales. Cash sales make up the balance. Cash customers

Question 4 Use the information provided below to prepare the following for January and February 2023: 4.1 Debtors Collection Schedule 4.2 Cash Budget INFORMATION The following information was provided by Intel Enterprises: 1. The bank balance on 31 December 2022 is expected to be R40 000 (unfavourable). 2. Credit sales are expected to be as follows: December 2022 January 2023 R576 000 R540 000 February 2023 R648 000 3. Credit sales usually make up 40% of the total sales. Cash sales make up the balance. Cash customers

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Chapter4: Internal Control And Cash

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QUESTION 3 REQUIRED Use the information provided below to prepare the following for Mustang Enterprises for January and February 2024. 3.1 Debtors Collection Schedule 3.2 Cash Budget. INFORMATION The following information was supplied by Mustang Enterprises: 1. Mustang Enterprises expects to have an unfavourable bank balance of R40 000 on 31 December 2023. 2. The monthly sales were projected as follows: 2023 Units November 44 000 December 53 000 2024 Units January 47 000 February 31 000 3. The selling price is R20 per unit (excluding any discounts). All the goods produced each month are expected to be sold in the same month. Sixty percent (60%) of the sales is expected to be on credit and the balance is for cash. Thirty percent (30%) of the cash sales is subject to a discount of 10%. 4. Credit sales are usually collected as follows: 20% in the month of sale, and these debtors receive a 5% discount. 75% in the month after the sale, and the rest is usually written off as bad debts. 5.…
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Use the information provided below to prepare the following for January and February 2023: 4.1 Debtors Collection Schedule 4.2 Cash Budget INFORMATIONThe following information was provided by Intel Enterprises:1. The bank balance on 31 December 2022 is expected to be R40 000 (unfavourable).2. Credit sales are expected to be as follows: December 2022 January 2023 February 2023 R576 000 R540 000 R648 000 3. Credit sales usually make up 40% of the total sales. Cash sales make up the balance. Cash customersreceive a 10% discount.4. Credit sales are normally collected as follows:* 30% in the month in which the transaction takes place, and these customers are entitled to a 5% discount.* 65% in the following monthThe rest is usually written off as bad debts.5. Budgeted purchases of inventory are as follows: December 2022 January 2023 February 2023 R1 000 000 R800 000 R920 000 6. Fifty percent (50%) of the purchases are for cash. The remainder is paid in the month after the…
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Question #2 Cash budgeting is critical to a company’s financial information needs. The following information was extracted from the records of A & B Manufacturing Company Limited. The opening cash balances on January 01, 2021 was expected to be $30,000. The budgeted sales were as follows: Budgeted Sales Month Year $November 2020 80,000December 2020 90,000January 2021 80,000February 2021 75,000March 2021 60,000April 2021 70,000 Analysis of records shows that debtors settle according to the following pattern: 70% within the month of sale 30% the following month Extracts of the purchases budget were as follows:Purchases budget Month Year $December 2020 65,000January 2021 50,000February 2021 75,000March 2021 70,000 …
Question #2 Cash budgeting is critical to a company’s financial information needs. The following information was extracted from the records of A & B Manufacturing Company Limited. The opening cash balances on January 01, 2021 was expected to be $30,000. The budgeted sales were as follows: Budgeted Sales Month Year $November 2020 80,000December 2020 90,000January 2021 80,000February 2021 75,000March 2021 60,000April 2021 70,000 Analysis of records shows that debtors settle according to the following pattern: 70% within the month of sale 30% the following month Extracts of the purchases budget were as follows:Purchases budget Month Year $December 2020 65,000January 2021 50,000February 2021 75,000March 2021 70,000 …