Construct the schedule of expected cash payments Year 2 Quarter 1 2 3 4 Year Accounts payable, beginning balance First-quarter purchases Second-quarter purchases Third-quarter purchases Fourth-quarter purchases Total cash disbursements ? ? ?For example, in cell B26 enter the formula "= BS". Check your worksheet by changing the budgeted unit sales in Quarter 2 of Year 2 in cell C5 to 75,000 units. The required production for the year should be 274,000 units. The cost of raw materials to be purchased for the year should be $1,106,800. whereas the total cash disbursements for the year should be $1,095,980. If you do not get this answer, find the errors in your worksheet and correct them. Data Budgeted unit sales 0 Selling price per unit - Accounts receivable, beginning balance - Sales collected in the quarter sales are made - Sales collected in the quarter after sales are made - Desired ending finished goods inventory is - Finished goods inventory, beginning - Raw materials required to produce one unit - Desired ending inventory of raw materials is - Raw materials inventory, beginning - Raw material costs - Raw materials purchases are paid and 0 Accounts payable for raw materials, beginning balance Entera formula into each of the cells marked with a ? below Review Problem: Budget Schedules Contact the sales budget Budgeted unit sales Selling price per unit Total sales Contact the schedule of expected cash collections Accounts receivable, beginning balance First-quarter sales Second-quarter sales Third-quarter sales Fourth-quarter sales Total cash collections Contact the prodactr'on badget Budgeted unit sales Add desired finished goods inventory Total needs Less beginning inventory Required production Contact the raw materials purchases budget Required production (units) Raw materials required to produce one unit Production needs (pounds) Add desired ending inventory of raw materials (pounds) Total needs (pounds) Less beginning inventory of raw materials (pounds) Raw materials to be purchased Cost of raw materials per pound Cost of raw materials to be purchased 1 40,000 $3 $65,000 75% 25% 30% 12,000 5 10% 23,000 $0.80 60% 40% $51,500 '0 '0 '0 '0 '0 '0 '0 '0 '0 '0 '0 '0 '0 '0 Year 2 Quarter V 2 V a 60,000 100,000 per unit of the budgeted unit sales of the next quarter units pounds 7 4 50,000 of the next quarters production needs pounds perpound in the quarter the purchases are made in the quarter following purchase Year2 Quarter V 2 V a ? '2 ? Year2 Quarter V 2 V a Year2 Quarter V 2 V a '0 '0 '0 '0 '0 Year2 Quarter V 2 V a '0 '0 '0 '0 '0 '0 '0 '0 '0 '0 '0 '0 '0 '0 '0 '0 '0 '0 '0 '0 '0 '0 '0 '0 '0 '0 '0 '0 '0 '0 7 Years Quarter 1 70,000 V 2 00,000 Years Quarter 1 Year Year Year V 2 '2 '2 '2 '2 '2 '2 '2 '2 '2 '2 '2 '2 Yeah? Quarter V 1 V 2 00000 00000 Year 3 Quarter V 1 '2 '2 2 2 '2 '2 '2 '2 '2 '2 '2 '2
