FIND OUT DECEMBER, JANUARY CASH BUDGET AND lao tell how to fnd begining balance
w P4-12 (similar to) Question Help Cash budget-Advanced The actual sales and purchases for Xenocore, Inc. for September and October 2019, along with its forecast sales and purchases for the period November 2019 through April 2020, follow The firm makes 26% of all sales for cash and collects on 37% of its sales in each of the 2 months following the sale. Other cash inflows are expected to be $12,000 in September and April, $13,000 in January and March, and $25,000 in February. The firm pays cash for 8% of its purchases. It pays for 50% of its purchases in the following month and for 42% of its purchases 2 months later. Wages and salaries amount to 18% of the preceding month's sales. Rent of $19,000 per month must be paid Interest payments of $10,000 are due in January and April. A principal payment of $35,000 is also due in April. The firm expects to pay cash dividends of $18,000 in January and April. Taxes of $80,000 are due in April. The firm also intends to make a $26,000 cash purchase of fixed assets in December a. Assuming that the firm has a cash balance of $21.000 at the beginning of November determine the end-of-month cash balances for each month November through April b. Assuming that the firm wishes to maintain a $14.000 minimum cash balance determine the required total financing or excess cash balance for each month November through April. c. If the firm were requesting a line of credit to cover needed financing for the period November to April, how large would this line have to be? Explain your answer Xenocore, Inc. Oct Noy 246,000 $ 172,000 $ S Forecast sales Cash sales Dec 162 000 42120 Collections 6362 Question Help o of its sales in s. It pays for 5 of $10,000 ar ake a $26,000 Inc., for September and October 2019, along with its forecast sales and purchases for the period November 2019 through April 2020, follow The firm More Info . ber and April, $13,000 in January and March, and 525,000 in salaries amount to 18% of the preceding month's sales. Rent of by cash dividends of $18,000 in January and April. Taxes of ,000 at the be 000 minimum needed finan (Click on the icon here a spreadsheet) in order to copy the contents of the data table below into a 1 April ber through April. ocore, Inc. Nov 172,000 $ Year 2019 2019 2019 2019 2020 2020 2020 2020 Month September October November December January February March April Sales $207,000 246,000 172,000 162,000 143.000 185.000 200,000 246 000 Purchases $120,000 151,000 141,000 104,000 82.000 109,000 97.000 86,000 $ S S Print Done Check Answe Clear All Check Answer 33 AM 221222 Cash budget-Advanced The actual sales and purchases for Xenocore, Inc., for September and October 2019, along with its forecast sales and makes 26% of all sales for cash and collects on 37% of its sales in each of the 2 months following the sale. Other cash inflows are expected to be 51 February. The firm pays cash for 8% of its purchases. It pays for 50% of its purchases in the following month and for 42% of its purchases 2 months $19,000 per month must be paid. Interest payments of $10,000 are due in January and April. A principal payment of $35,000 is also due in April. The $80,000 are due in April. The firm also intends to make a $26,000 cash purchase of fixed assets in December a. Assuming that the firm has a cash balance of $21,000 at the beginning of November, determine the end-of-month cash balances for each month, b. Assuming that the firm wishes to maintain a $14,000 minimum cash balance, determine the required total financing or excess cash balance for eae c. If the firm were requesting a line of credit to cover needed financing for the period November to April, how large would this line have to be? Explair Purchases of fixed assets $ 26000 Total cash disbursements $ 218200 Net cash flow -21420 Add: Beginning cash $ $ Ending cash Enter any number in the edit fields and then click Check Answer 6 Clear All parts remaining c9cce11c-f31c-43f....jpg 52133436-4d6d-4....jpg Type here to search
