Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

$522,000; March $513,000; April $583,000; May $632,000; June $648,000; July $634,000 Purchases: Purchases are calculated as 63% of the next month's sales, 12% of purchases

$522,000; March $513,000;

April $583,000; May $632,000;

June $648,000; July $634,000Purchases: Purchases are calculated as 63%

of the next month's sales, 12% of purchases are made in cash, 55%

of purchases are paid for 1 month after purchase, and the remaining 33% of purchases are paid for 2 months after purchase.

Rent: The firm pays rent of $7,990 per month.

Wages and salaries: Base wage and salary costs are fixed at $5,800

per month plus a variable cost of 7.3% of the current month's sales.

Taxes: A tax payment of $54,300 is due in June.

Fixed asset outlays: New equipment costing

$74,900 will be bought and paid for in April.

Interest payments: An interest payment of $30,200

is due in June.Cash dividends: Dividends of $12,800 will be paid in April.

Principal repayments and retirements: No principal repayments or retirements are due during these months.

Question content area bottom

Part 1

Complete the cash disbursements schedule for Maris Brothers, Inc. below: (Round to the nearest dollar.)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Changing Contours Of Indian Agriculture Investment Income And Non Farm Employment

Authors: Seema Bathla Amaresh Dubey

1st Edition

9811060134,9811060142

More Books

Students also viewed these Finance questions