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A practice quiz question. I have provided the question, along with two separate images for the tables for the data to be entered into. Question

image text in transcribedimage text in transcribed

A practice quiz question.

I have provided the question, along with two separate images for the tables for the data to be entered into.

image text in transcribedimage text in transcribedimage text in transcribed
Question 4 (24 marks) On average, Tick Tock Pty Ltd.'s sales are 35% by cash and 65% on credit. The collection history indicates that credit sales are collected as follows: . 70% in the month after the sale . 30% two months after the sale Budgeted sales and COGS for the period April - August are as follows: Month Budgeted Sales Budgeted COGS April $750,000 $375,000 May $800,000 $400,000 June $920,000 $460,000 July $850,000 $425,000 August $750,000 $375,000 The goods are purchased in the middle of the month prior to their sale and are paid for in the month of their sale. Selling / distribution costs are fixed at $300,000 per month. Required: After you have completed your calculations, use the tables provided to complete the Sales Budget, Purchases Budget and Cash Budget for the months of June and July. The cash balance in the bank account on 1 June is expected to be $175,000.Calculations: Tables provided for Question Response: Sales Budget Apr May Jun Jul Budgeted Total Sales Expected Cash Collections Credit Sales - 65% Cash Sales - 35% Credit Sales - collected 1 month after sale Credit Sales - collected 2 months after sale Total cash collections from sales Purchases Budget Apr May Jun Jul Budgeted total purchases Expected Cash DisbursementsCash Budget Apr May Jun Jul Cash Collections from Sales Total Cash Collections Cash Payments - Purchases Cash Payments - Selling & Distribution Total Cash Payments Net Cash Inflow/Outflow Add Beginning Cash Balance Ending Cash Balance

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