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Brian Lee, Coronado & Anthony Fabricators budget director, has received budget information from several managers and is preparing the company's cash budget. January February March

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Brian Lee, Coronado & Anthony Fabricators budget director, has received budget information from several managers and is preparing the company's cash budget. January February March Quarter Collections from sales 476,200 560,860 636.720 1.673,780 Payments for direct materials 80,505 253,125 280,730 614,360 Payments for direct labor 98,640 116,640 318,960 103,680 78980 80,240 237.710 Payments for manufacturing overheads Payments for Selling & administrative expenses 78.490 111.400 116,440 123,160 351,000 In addition to the information he received from these managers, Brian knows the following: Coronado & Anthony plans to have $32,400 in its cash account on January 1. Coronado & Anthony plans to purchase and pay cash for a piece of land in January at a cost of $85,000. Coronado & Anthony plans to make a cash purchase of equipment in March at a cost of $30,000. Coronado & Anthony's income taxes from last quarter totaling $26,400 will be paid in January Coronado & Anthony is required to maintain a minimum cash balance of $50,000 in its account at First National Bank. Coronado & Anthony has negotiated with the First National Bank to provide a $175,000 line of credit that can be borrowed against in $1,000 increments on the first day of the month. Any repayments on the line of credit must also be made in $1,000 increments and are made on the last day of the month when cash is available. The annual interest rate on this line of credit is 6%. Any time a principal payment is made, all accrued interest to date is repaid Prepare Coronado & Hill's cash budget for the first quarter. (Round answers to decimal places, e.g. 5,275. Enter answers in necessary fields only. Leave other fields blank. Do not enter 0. Enter negative amounts using either a negative sign preceding the number eg.-45 or parentheses es. (451) January February Beginning cash balance $ 32400 32400 $ $ 50165 Collections from sales 476200 559860 Total cash available to spend 508600 610025 Less Disbursements Payments for direct materials 80505 253125 i Direct labor 98640 103680 Manufacturing overhead 78490 78980 Selling & administrative expenses 111400 116440 i 480435 552225 Total cash disbursements Cash excess (deficiency) 28165 57800 50000 50000 Minimum cash balance Cash excess (needed) Financing Borrowings 22000 -7000 Repayments 220 Interest 22000 -7220 Total financing January February March Quarter 32400 $ 50165 $ 476200 559860 508600 610025 80505 253125 98640 103680 78490 i 78980 i 111400 116410 26400 i 85000 i 480435 552225 28165 57800 50000 i 50000 22000 II -7000

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