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Analyze the Cash position of Dravid Enterprises by preparing a cash budget for the month of May, June and July 2 0 2 2 ,

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Analyze the Cash position of Dravid Enterprises by preparing a cash budget for the month of May, June and July 2022, on the basis of following information: Income and Expenditure Forecasts Month Sales () Purchases () Wages () Office Expenses () Selling Expenses () March 70,00046,0009,0003,0002,000 April 72,00048,0008,0004,5003,000 May 64,00043,00010,0003,5002,500 June 68,00045,0008,5004,0003,500 July 76,00049,0009,5003,0003,500 August 80,00044,0008,0003,5003,500 Additional Information: a) Cash balance on May 1,2020 was 10,000. b) Advance tax of 6,000 each is payable in March and June. c)50% of sales are on cash. d)80% of purchases are on credit. e) Period of credit allowed i) by suppliers---2 months, and ii) to customers---1 months f) Wages to be paid in same month. g) Lag in payment of office and selling expenses ---1 month. h) Lag in payment of selling expenses ---1/2 month.
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