$7$ Budated hacome Slatement

Sales

CostofGoods Sold

Gross Profit

Selling Expenses & Admin. Expenses

Netincome

$\{10\mathrm{.}01\}$

$8$ CashBudat

Assume actual cash receipts and dis bursements will follow the pattern below:$($Note: Receivables and

Payables of $12/31/$x $1$ will have a cash impactin $20$x$2.)$

$18\mathrm{.}00\%$ of sales for the year are made in November and December. Since our cus tomers have $60$ day terms

those funds will be collected be collected in January and February.

$89\mathrm{.}00\%$ of material purchases will be paid during the year, the remaining portion will be paid in Januay or February.

All other manufacturing and operating costs are paid for when incurred.

The budgeted depreciation expense is equal to $0\mathrm{.}6\%$ of the fixed manufacturing, selling and adminis trafive expenses.

Minimum Cash Balance needed for $202,$$$175,000.$

ISee The Light

Projected Cash Budget

For the Year Ending December $31,20$x$2$

Beginning Cash Balance

Cash Inflows:

Sales Collections:

AccountReceivable $($Sales lastyear notcollected$)$

Sales made and collected in $202$

Cash Available

Cash Outlows:

Purchases

Accounts Payable $($Purchases lastyear$)$

Purchases made and paid for in $202$

Other Manufacturing Costs

DirectLabor

Total Manufacturing Overhead

Selling and Adminis trafive

Less:Depreciation

Total Cash Outlows

Budgeted Cash Balance before financing

Needed Minimum Balance

Amount to be borrowed $($ifany$)$

Budgeted Cash Balance

Round dollars to two

places, $####