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6. All purchases are on credit. 75% of the purchases will be paid during the month of purchase and 25% will be paid during the
6. All purchases are on credit. 75% of the purchases will be paid during the month of purchase and 25% will be paid during the ensuing month. A trade discount of 4% is allowed by suppliers on all payments during the month of purchase. The expected closing inventory for each month is 4 000 units plus 10% of the ensuing month's sales. 8. Provisional tax of R200 000 must be paid on the 28th February 2019. Required: Prepare the cash budget of Pillay Limited, in columnar form for January and February 2019. Show all calculations. 6. All purchases are on credit. 75% of the purchases will be paid during the month of purchase and 25% will be paid during the ensuing month. A trade discount of 4% is allowed by suppliers on all payments during the month of purchase. The expected closing inventory for each month is 4 000 units plus 10% of the ensuing month's sales. 8. Provisional tax of R200 000 must be paid on the 28th February 2019. Required: Prepare the cash budget of Pillay Limited, in columnar form for January and February 2019. Show all calculations
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