Question : Prepare your cash budget for the period. BUDGETINGJULYAUGUSTSEPTEMBERОСТОВERNOVEMBERDECEMBERRM185,000 RM200,000RM360,000RM320,000RM195,000RM250,5001. Analysis of the debtors shows that debtors settle their account according to the followingpattern:50% within the month of sale30% in 2nd month of sale20% in 3rd month of sale2. Monthly expenses for NAFR EnterprisesWages-RM30,000Rental - RMS,500Utilities - RM5,000Transportation- RM500Insurances - RM800are paid in the month in which they are incurred. It is the company policy to transferRM5,000 per month in bank. The return on investment will be received in December.3. In December, NAFR enterprise transfer RM50,000 to CIMB Bank for a fixed deposit.4. The annual depreciation for the motor vehicles is RM25,000.5. The cash amount as at 30 September 2022 is expected to be RM16,2056. All calculation is to be round off to nearest whole number

Budgeting - Budgeting is the process of estimating future operations based on past performance. %…

Answered: BUDGETING JULY AUGUST SEPTEMBER ОСТОВER…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter7: Budgeting

Section: Chapter Questions

Problem 6PA: Relevant data from the Poster Companys operating budgets are: Additional data: Capital assets were...

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Question : Prepare your cash budget for the period.

BUDGETING
JULY
AUGUST
SEPTEMBER
ОСТОВER
NOVEMBER
DECEMBER
RM185,000 RM200,000
RM360,000
RM320,000
RM195,000
RM250,500
1. Analysis of the debtors shows that debtors settle their account according to the following
pattern:
50% within the month of sale
30% in 2nd month of sale
20% in 3rd month of sale
2. Monthly expenses for NAFR Enterprises
Wages-RM30,000
Rental - RMS,500
Utilities - RM5,000
Transportation- RM500
Insurances - RM800
are paid in the month in which they are incurred. It is the company policy to transfer
RM5,000 per month in bank. The return on investment will be received in December.
3. In December, NAFR enterprise transfer RM50,000 to CIMB Bank for a fixed deposit.
4. The annual depreciation for the motor vehicles is RM25,000.
5. The cash amount as at 30 September 2022 is expected to be RM16,205
6. All calculation is to be round off to nearest whole number

Definition Definition Estimate of an organization's cash flow for a future period. A cash budget forecasts future cash receipts and payments from various sources for a fiscal year. A cash budget can be created once a month or once a week to determine the organization's cash position and ensure its performance in relation to the budget. It aids in determining whether the company has enough cash and cash equivalents to meet its operational needs in the future.

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