Exercise 20-20 Cash budget LO P2 Karim Corp requires a minimum $8.500 cash balance Loans taken to meet this requirement cost 2% interest per month (paid monthly). Any excess cash is used to repay loans at month end. The cash balance on July 1 is $8.900, and the company has no outstanding loans Forecasted cash receipts (other than for loans received) and forecasted cash payments (other than for loan or interest payments) follow Cash receipt Cash payments July 524,500 28,750 August $32.500 30, 500 September $40,500 32,500 Prepare a cash budget for July August, and September (Negotive balonces and Loon repayment amounts (if any) should be Indicated with minus sign. Round your final answers to the nearest whole dollar.) KARIM CORP Cash Budget For July August and September July August $ 8.900 September Beginning cash balance Total cash available Preliminary cathy balance Erding cash balance Loan balance 5 Lean halance Beginning of month Additional loan loan repayment) Chan balance - End of month Exercise 20-25A Merchandising: Preparing a cash budget LO P4 Use the following information to prepare the July cash budget for Acco Co. It should show expected cash receipts and cash payments for the month and the cash balance expected on July 31 a. Beginning cash balance on July 575.000, b. Cash receipts from sales: 40% is collected in the month of sale, 50% in the next month and 10% in the second month after sale (uncollectible accounts are negligible and can be ignored) Sales amounts are May (actuals $1810000, June (actuan. $1,410,000, and July (budgeted). $1590.000 c. Payments on merchandise purchases 70% in the month of purchase and 30% in the month following purchase Purchases amounts are June (actual). $560,000, and July (budgeted) $730000. d. Budgeted cash payments for salaries in July $270.000, e. Budgeted depreciation expense for July $14,000 f. Other cash expenses budgeted for July $150,000. 9. Accrued income taxes due in July $80,000 h. Bank loan interest paid in July $8.000 Complete this question by entering your answers in the tabs below. Calculation Cash Budget Calculate the budgeted cash receipts and cash payments. Calculation of Cash Receipts from Sales Collected in Total Sales May June July July 31 Accounts Rec Cred sales trom May July 1.010.000 1.410,000 1.500.000 4010 000 Total 5 1 05 1 0 $ Calculator Cash Payments for Merchandise July 31 BLO,000 July 2009 1 250 000 $ 05 Cash Bags > Exercise 20-25A Merchandising: Preparing a cash budget LO P4 Use the following information to prepare the July cash budget for Acco Co. It should show expected cash receipts and cash payments for the month and the cash balance expected on July 31 a. Beginning cash balance on July 1: $75.000 b. Cash receipts from sales: 40% is collected in the month of sale 50% in the next month and 10% in the second month after sale Juncollectible accounts are negligible and can be ignored) Sales amounts are May (actual) $1810.000. June factual), $1,410,000, and July (budgeted) $1,590.000 c. Payments on merchandise purchases: 70% in the month of purchase and 30% in the month following purchase. Purchases amounts are June (actual), $560,000, and July (budgetedy, $730,000 d. Budgeted cash payments for salaries in July $270.000 e. Budgeted depreciation expense for July $14,000 f. Other cash expenses budgeted for July $150,000, g. Accrued income taxes due in July $80,000 h. Bank loan interest paid in July $8,000 Complete this question by entering your answers in the tabs below. Calculation Cash Budget Prepare the July cash budget for Acco co ACCOCO Chal Budget For the Month Ended July 31 Tal cash avatte Cash for