Balance Sheet of Company "XYZ", a fitness retailer detailing its financial position - 31st of October

XYZ Company Balance Sheet

22-Oct-31

You are the manager of finances of the Company "XYZ" and have to do these tasks:

1. Schedule of cash collections for November
2. Schedule of cash disbursements for November
3. Cash budget for November
4. Budgeted income statement for November
5. Balance sheet as of the 30th of November

Assets

Cash 5000

Marketable securities 5000

Inventory 25000

Accounts receivable (due in November 2011) 72000

Property and Equipment 600000

Accumulated Depreciation 100000

Property and Equipment, net 500000

Total Assets 607000

Liabilities and Stockholders' Equity

Accounts payable (due in November 2011) 90000

Notes payable (due in November 2011) 5000

Capital (par value + excess of par value) 425000

Retained earnings 77000

Total L + SE 607000

Must show the calculations! Either formulas or a text note!

Information available so far to help with the calculations:

1.You expect to make sales in the amount of 260000 during the month of November

26% of these sales will be made in cash, all the rest will go into accounts receivable

50% of the credit sales are collected within the same month and the rest is often collected during the next month

2.All the inventory purchases made by XYZ company are always made on account

35% of those purchases/accounts payable are paid within the same month

65% of those purchases/accounts payable are paid within the next month

0% of those purchases/accounts payable are paid within the third month

It is estimated that the XYZ company will need to purchase 200000 USD worth of inventory

3.XYZ company anticipates that it will finish November with a 40000 USD inventory balance in its store

Salaries expense 20000

Utilities expense 20000

Rent expense 10000

Interest expense 500

Depreciation expense 2000

5.Company would like to buy new inventory and equipment in November. Cost - 9000 USD

6.Company believes that it might need more money to purchase new furniture during winter, so it decides to borrow 18000 USD from a credit company for 9 months in the middle of October

7.Company isn't prepare to pay dividends anytime in the future.

THANK YOU VERY MUCH FOR THE HELP IN ADVANCE!!!