Haney Company has provided the following budget information for the first quarter of 2018: Total sales ..........................................................

Question:

Haney Company has provided the following budget information for the first quarter of 2018:
Total sales .......................................................... $214,000
Budgeted purchases of direct materials ........................... 40,300
Budgeted direct labor cost ......................................... 37,200
Budgeted manufacturing overhead costs:
Variable manufacturing overhead .................................... 1,150
Depreciation ............................................................. 1,200
Insurance and property taxes .......................................... 6,600
Budgeted selling and administrative expenses:
Salaries expense ....................................................... 13,000
Rent expense ............................................................ 2,500
Insurance expense ...................................................... 1,100
Depreciation expense .................................................... 350
Supplies expense ........................................................ 4,280
Additional data related to the first quarter of 2018 for Haney Company:
a. Capital expenditures include $38,000 for new manufacturing equipment, to be purchased and paid in the first quarter.
b. Cash receipts are 65% of sales in the quarter of the sale and 35% in the quarter following the sale.
c. Direct materials purchases are paid 50% in the quarter purchased and 50% in the next quarter.
d. Direct labor, manufacturing overhead, and selling and administrative costs are paid in the quarter incurred.
e. Income tax expense for the first quarter is projected at $44,000 and is paid in the quarter incurred.
f. Haney Company expects to have adequate cash funds and does not anticipate borrowing in the first quarter.
g. The December 31, 2017, balance in Cash is $45,000, in is $23,200, and in is $9,000.
Requirements
1. Prepare Haney Company's schedule of cash receipts from customers and schedule of cash payments for the first quarter of 2018.
2. Prepare Haney Company's for the first quarter of 2018?
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