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Based on the following information, prepare a cash budget for Rimbunan Pepohon Bhd for the third quarter of year 2022. The company's projected sales for
Based on the following information, prepare a cash budget for Rimbunan Pepohon Bhd for the third quarter of year 2022. The company's projected sales for the month of May to October 2022 is provided in the table below. Month Sales (RM) May 100,000 June 105,000 July 110,000 August 115,000 September 120.000 The collection of sales is as follows: 40% is collected in the month of sales 60% is collected one month after sales October 125,000 y D) Purchases of raw materials are 55% of sales and are made one month in advance of sales. Payments are made on the following basis: 45% in the month of purchases 55% one month after purchases in The company will receive the monthly interest and rental worth RM1,500 and RM3,000 respectively. in) The information on the company's fixed monthly expenses are provided below: Selling and general expenses 1% of monthly sales Operating expenses: RM 20,500 Depreciation expenses RM 5,000 Insurance premium RM 7,000 V Interest on a borrowed RM120,000 loan at 15%interest per year is payable every month. vi) Cash balance on 30 June 2022 is RM 50,000 and the company maintains the minimum cash requirement of RM30,000
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