Cash budget-Basic Farmers Delight Corporation reported sales of $350,000 in June, $380,000 in July, and $390,000 in August. The forecasts for September, October, and November are $385,000, $418,000, and $429,000, respectively. The initial cash balance on September 1 is $150,000, and a minimum of $8,000 should be kept. Use the given information to compile a cash budget for the months of September, October, and November. (1) Farmers Delight predicts that 5% of its sales will never be collected, 30% of its sales will be cash sales, and the remaining 65% will be collected in the following month. (2) Farmers Delight receives other monthly income of $3,000. (3) The actual or expected purchases are $150,000, $120,000, and $115,000 for the months of September to November, respectively, and 50% are paid in cash while the remainder is paid in the following month. The purchases for August were $120,000. (4) Monthly rent is $3,500 chargeable only in October and November. (5) Wages and salaries are 12% of the previous month's sales. (6) Cash dividends of $4,600 are declared and will be paid in September. (7) Long-term loan repayment of principal and interest of $4,700 is due in October. (8) Additional equipment costing $8,500 is ordered and scheduled to be paid for in cash in November. (9) Taxes of $8,250 are due in November. Complete the first month of the cash budget for Farmers Delight Corporation below: (Round to the nearest dollar. If the input box does not require an entry, enter "0". Please input all the values in the table before checking your answers.) July August September Sales $ 380,000 $ 390,000 $ 385,000 Cash sales Collections of A/R Other income Total cash receipts $ (Round to the nearest dollar. If the input box does not require an entry, enter "0". Please input all the values in the table before checking your answers.) July August September Disbursements Cash purchases $ Payments of A/P Rent Wages and salaries Dividends Principal and interest Fixed-asset outlays Taxes due Total cash disbursements $ Round to the nearest dollar. If the input box does not require an entry, enter "O". Please input all the values in the table before checking your answers.) lub Auct Contambar July August September Net cash flow $ Add: Beginning cash Ending cash $ Minimum cash Excess cash balance (marketable securities) $ Complete the second month of the cash budget for Farmers Delight Corporation below: (Round to the nearest dollar. If the answers.) August September October Sales $ 390,000 $ 385,000 $ 418,000 Cash sales Collections of A/R Other income Total cash receipts $
