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Budgeting Cash Flow The following various elements relate to Whitfield, Inc. ' s cash budget for April of the current year. For each item, determine
Budgeting Cash Flow
The following various elements relate to Whitfield, Inc.s cash budget for April of the current year. For each item, determine the amount of cash that Whitfield should receive or pay in April.
a At $ each, unit sales are and for March and April, respectively. Total sales are typically for cash and on credit; of credit sales are collected in the month of sale, with the balance collected in the following month. Uncollectible accounts are negligible.
Marchsales Answer
Aprilcash sales Answer
Aprilcredit sales Answer
Cash collected in April Answer
b Merchandise purchases were $ and $ for March and April, respectively. Typically, of total purchases are paid for in the month of purchase with a cash discount. The balance of purchases is paid for without discount in the following month.
Marchpurchases Answer
Aprilpurchases Answer
Cash paid in April Answer
c Fixed administrative expenses, which total $ per month, are paid in the month incurred. Variable administrative expenses amount to of total monthly sales revenue, onehalf of which is paid in the month incurred, with the balance paid in the following month.
April fixed expenses Answer
March variable expenses Answer
April variable expenses Answer
Cash paid in April Answer
d A store asset originally costing $ on which $ depreciation has been taken, is sold for cash at a loss of $
$Answer
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