E F G H A B 1 S & P Enterprises needs a cash budget for March. The following information is available. 2 D February March X9122156762222222222227 3 Data January 4 Actual January and February and expected March sales: 5 Cash sales $ 10 Month following sale 6 Sales on account 7 Total Sales 8 9 Accounts Receivable Collections: Month of sale 1,600 $ 3,750 $ 5,100 25,000 30,000 40,000 $ 26,600 $ 33,750 $ 45,100 Second month following sale 13 Uncollectible 15% 60% 22% 3% 14 15 Accounts payable for inventory purchases, March 1 balance 16 Budgeted inventory purchases in March $10,500 $23,500 17 Inventory payments: Month of purchase 60% 18 Month following purchase 20 21 Total budgeted selling & administrative expenses in March 22 Budgeted selling & administrative depreciation in March $12,500 $3,200 23 40% 24 Other budgeted cash disbursements in March Equipment purchases Dividends to be paid 28 Minimum cash balance to be maintained 29 March 1 cash balance 30 March 1 outstanding borrowings 31 March 1 interest due 32 $14,000 $2,000 $10,000 $11,500 $0 $0 32 33 The company has a line of credit available to bolster the cash balance as needed. 34 35 When preparing budgets, the company maintains their data on a separate sheet from the actual budget and schedules. 36 37 Click the Schedules and Cash Budget tab to prepare the following: 38 1. Schedule of expected cash collections for March. 39 2. Schedule of expected cash disbursements for inventory purchases for March. 40 41 3. Cash budget for March. Indicate in the financing section any borrowing that will be needed in March. Assume that any interest will not be paid until the following month. 42 43 44 45