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Besser Lid prepares a monthly cash budget. Here is expected income statement data for the next two months, January and February of 2022 Sales Direct

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Besser Lid prepares a monthly cash budget. Here is expected income statement data for the next two months, January and February of 2022 Sales Direct Materials Purchases Direct Libour Manufacturing Costs Selling and Admin Exp Jan $500,000 180 000 35,000 72,000 75,000 Feb $580.000 220.000 105,000 79,000 80,000 includes $3,000 Depreciation Expense in EACH month All sales are on Credit Collections of sales are estimated to be 40% in the month of sale, and the balance in the month following the sale Direct material purchases are pad as follows 55% in the month of sale, and the balance in the month after the sale All other costs requiring payment are paid in the month of sale Sules in November, 2021 8400,000 for December, 2021 S510,000 Direct materials purchases in November, 2021 5120 000 for December, 2021 $152.000 Othet Incoming cash January, indorost receivable, $4,000, February, proceeds from sale of securities, $2,000 Other outgoing cash January only payment of cash for land, $36.000 Cash balance is expected to be $35,000 as of Jan 1, 2002. The company's policy is to always start each month with at least $30,000 in cash if it is not there at month and the compar will borrow enough so that this policy can be followed REQUIRED a What does the company expect as their Net Income for January and February of 2022? (3 marks) Now please prepare a cash budget for Bessner Ltd, for January and February, 2022 Use the template given below Note that just because spaces have been provided for answers, you do not have to use all of them (22 marks) Bessner Ltd. Cash Budget for January and February, 2022 Feb Jan $ 35,000 Opening balance Cash from Nov 2021 sales Cash from Dec. 2021 sales Cash from Jan 2022 sales Cash from Feb 2022 sales Materials purchases from Nov. 2021 Materials purchases from Dec, 2021 Materials purchases from Jan 2022 Materials purchases from Feb. 2022 Direct Labour Manufacturing Costs Selling and admin costs Other cash Inflows Other cash outflows Financing (if needed) Closing Balance Attach File Browse Local Files Browse Content Collection

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