b. Schedule of cash collected from customers

Jason Company Ltd Project Jason Company Ltd is a retail company that sells household electronics. The budget for the forthcoming period October 1, to December 31, 2021 is to be prepared. Expectations for the forthcoming period include the following: a. Proforma Statement of Financia! Position as at 30 September 2021 $ $ ASSETS Non-current Assets Property Plant and Equipment (NBV) 1,400,000 Current Assets Inventory Accounts Receivable Short-term Investments Bank 350,000 126,000 30,000 506,000 1012.000 2.412,000 EQUITIES AND LIABILIATIES Capital Share capital Retained Earnings 1,000,000 422,700 1,422,700 389,300 Current Liabilities Accounts Payable Non-Current Liabilities Loan 600,000 989,300 2.412,000 b. Sales data the company's sales for September 2021 are expected to be $1,500,000 and it is expected that it will increase by 12.5% each month over the previous month for the quarter ending December 31, 2021. Sales are expected to remain constant after December 31, 2021. C. Collections - credit sales are typically 60% of total sales. Outstanding amounts from sales are normally collected as follows: i. 75% during the month of sale ii. 25% during the month after sale d. Cost of goods sold - this is normally 70% of total sales. To have adequate stocks of inventory on hand, the company attempts to have inventory at the end of each month equal to half (50%) of the next month's projected cost of goods sold. Inventory is purchased on account and usually settled as follows: i. 45% during the month of purchase ii. 55% during the month after purchase $ e. Other monthly expenses: Expense type Salaries & wages Marketing & Distribution Administrative Costs Depreciation of Equipment Sales Commission 150,000 120,000 150,000 35,000 2.5% of total sales f. Equipment is to be purchased on October 1, 2021 for $1,200,000 on hire-purchase and paid for in 12 months monthly installment starting in December 2021. g. The directors have indicated an intention to declare and pay dividends of $120,000 on the last day of each quarter. h. The executives believe that the company should maintain a minimum opening bank balance of $500,000 starting October 2021. If the opening bank balance in any month following October is less than $500,000, then the company can borrow to cover the shortfall. Amounts borrowed must be in multiples of $1,000 (for example, $20,000 or $21,000 but not $20,500 or 21,750). The interest rate is 12% per annum. Repayment of principal and interest must be made on the last day of each quarter. i. Tax payable represents 25% of Profit before Tax and will be paid April 30, 2022