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Crane Comparyy expects to have a cash balance of $82,800 on lanuary 1,2022 . These are the relevant monthly budget data for the first two
Crane Comparyy expects to have a cash balance of $82,800 on lanuary 1,2022 . These are the relevant monthly budget data for the first two months of 2022 1. Collections from customers: January $127,800. February $262.800. 2. Payments to suppliers: January $72,000, February $135,000. 3. Wages: January $54,000. February $72,000. Wages are paid in the month they are incurred. 4. Administrative expenses: January $37,800, February $43,200. These costs include depteciation of $1,800 per month. All other costs are paid as incurred. 5. Selling expenses: January $27,000, February $36,000. These costs are exclusive of depreciation. They are paid as incurred. 6. Sales of short-term irvestments in January are expected to realize $21,600 in cash. Crane Compary has a line of credit at a local bank that enables it to borrow up to $45,000. The company wants to maintain a minimum monthly cash balance of $36,000 Prepare a cash budget for January and February. (List items that increase cash balance first)
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