Wilson, the banker, will finance construction if the firm can present an acceptable three-month financial plan for January through March. The following are actual and forecast sales figures: November December Actual $ 600,000 January 620,000 February March Sales Credit sales Forecast Of the firm's sales, 50 percent are for cash and the remaining 50 percent are on credit. Of credit sales, 50 percent are paid in the month after sale and 50 percent are paid in the second month after the sale. Materials cost 30 percent of sales and are purchased and received each month in an amount sufficient to cover the following month's expected sales. Materials are paid for in the month after they are received. Labor expense is 40 percent of sales and is paid for in the month of sales. Selling and administrative expense is 20 percent of sales and is paid in the month of sales. Overhead expense is $38,000 in cash per month. Cash sales One month after sale Two months after sale Depreciation expense is $12,000 per month. Taxes of $10,000 will be paid in January, and dividends of $12,000 will be paid in March. Cash at the beginning of January is $120,000, and the minimum desired cash balance is $115,000. a. Prepare a schedule of monthly cash receipts for January, February, and March. Total cash receipts Payments for purchases Labor expense Selling and administrative Overhead Taxes Dividends Additional Information $ 540,000 $ 680,000 April forecast 720,000 550,000 November Jayden's Carryout Stores. Cash Receipts Schedule December Jayden's Carryout Stores. Cash Payments Schedule January $ February January $ b. Prepare a schedule of monthly cash payments for January, February, and March. Note: Input all amounts as positive. Leave no cells blank be certain to enter O wherever required. March February $ March 0
Wilson, the banker, will finance construction if the firm can present an acceptable three-month financial plan for January through March. The following are actual and forecast sales figures: November December Actual $ 600,000 January 620,000 February March Sales Credit sales Forecast Of the firm's sales, 50 percent are for cash and the remaining 50 percent are on credit. Of credit sales, 50 percent are paid in the month after sale and 50 percent are paid in the second month after the sale. Materials cost 30 percent of sales and are purchased and received each month in an amount sufficient to cover the following month's expected sales. Materials are paid for in the month after they are received. Labor expense is 40 percent of sales and is paid for in the month of sales. Selling and administrative expense is 20 percent of sales and is paid in the month of sales. Overhead expense is $38,000 in cash per month. Cash sales One month after sale Two months after sale Depreciation expense is $12,000 per month. Taxes of $10,000 will be paid in January, and dividends of $12,000 will be paid in March. Cash at the beginning of January is $120,000, and the minimum desired cash balance is $115,000. a. Prepare a schedule of monthly cash receipts for January, February, and March. Total cash receipts Payments for purchases Labor expense Selling and administrative Overhead Taxes Dividends Additional Information $ 540,000 $ 680,000 April forecast 720,000 550,000 November Jayden's Carryout Stores. Cash Receipts Schedule December Jayden's Carryout Stores. Cash Payments Schedule January $ February January $ b. Prepare a schedule of monthly cash payments for January, February, and March. Note: Input all amounts as positive. Leave no cells blank be certain to enter O wherever required. March February $ March 0
Excel Applications for Accounting Principles
4th Edition
ISBN:9781111581565
Author:Gaylord N. Smith
Publisher:Gaylord N. Smith
Chapter22: Master Budget (master)
Section: Chapter Questions
Problem 1R: Ranger Industries has provided the following information at June 30: Other information: Average...
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Question
Transcribed Image Text:Wilson, the banker, will finance construction if the firm can present an acceptable three-month financial plan for January through
March. The following are actual and forecast sales figures:
Actual
November
December
Sales
Credit sales
$ 600,000 January
620,000 February
March
Cash sales
One month after sale
Two months after sale
Total cash receipts
Of the firm's sales, 50 percent are for cash and the remaining 50 percent are on credit. Of credit sales, 50 percent are paid in the
month after sale and 50 percent are paid in the second month after the sale. Materials cost 30 percent of sales and are purchased and
received each month in an amount sufficient to cover the following month's expected sales. Materials are paid for in the month after
they are received. Labor expense is 40 percent of sales and is paid for in the month of sales. Selling and administrative expense is 20
percent of sales and is paid in the month of sales. Overhead expense is $38,000 in cash per month.
Forecast
Depreciation expense is $12,000 per month. Taxes of $10,000 will be paid in January, and dividends of $12,000 will be paid in March.
Cash at the beginning of January is $120,000, and the minimum desired cash balance is $115,000.
a. Prepare a schedule of monthly cash receipts for January, February, and March.
Payments for purchases
Labor expense
Selling and administrative
Overhead
Taxes
Dividends
Total cash payments
November
$ 680,000 April forecast
720,000
550,000
Additional Information
$
Jayden's Carryout Stores.
Cash Receipts Schedule
December
Jayden's Carryout Stores.
Cash Payments Schedule
January
0 $
$
February
January
b. Prepare a schedule of monthly cash payments for January, February, and March.
Note: Input all amounts as positive. Leave no cells blank be certain to enter O wherever required.
$ 540,000
$
0 $
March
February
0 $
March
0
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Follow-up Question
I put them in as negatives and it was still wrong.
Transcribed Image Text:08
meyouve amount STEM DE INMIGO my a mində sığnı. Assume ane yanuary wym
blank be certain to enter O wherever required.
Total cash receipts
Total cash payments
Net cash flow
Beginning cash balance
Cumulative cash balance
Monthly loan (or repayment)
Ending cash balance
Cumulative loan balance
X Answer is not complete.
Jayden's Carryout Stores.
Cash Budget
January
$ 645,000 $
672,000 X
1,317,000
120,000
1,437,000
22,000 X
1,459,000
22,000 x
February
685,000 $
635,000 x
1,320,000
165,000 X
1,485,000
22,000 x
1,507,000
March
625,000
542,000 X
1,167,000
143,000
1,310,000
1,310,000
Solution
by Bartleby ExpertFollow-up Question
Transcribed Image Text:c. Prepare a monthly cash budget with borrowings and repayments for January, February, and March.
Note: Negative amounts should be indicated by a minus sign. Assume the January beginning loan balance is $0. Leave no cells
blank be certain to enter O wherever required.
Total cash receipts
Total cash payments
Net cash flow
Beginning cash balance
Cumulative cash balance
Monthly loan (or repayment)
Ending cash balance
Cumulative loan balance
Jayden's Carryout Stores.
Cash Budget
January
0
0
0
February
0
0
0
March
0
0
Solution
by Bartleby ExpertKnowledge Booster
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