Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

From the following data forecast the cash position at the end of Jan, FEB and March 2023 Further information 1. Sales at 20% realized in

image text in transcribed

From the following data forecast the cash position at the end of Jan, FEB and March 2023 Further information 1. Sales at 20% realized in the month of sales. Balance equally realized in two subsequent months. 2. Purchase: Creditors are paid in the month of supply. 3. Wages: 80% paid in the following month. 4. Sales expenses are paid in the month sales. 5. Income tax $30,000 payable in Feb 2023. 6. Dividend $12,000 payable in December 2022. 7. Income from investments $5,000 received half in March and April 2023 8. Cash in balance on 01-1-2023 is $52,600 Required: a. Prepare the Cash budget for the month of January February and March 2023 (show all workings) (35 Marks) b. Analyze the Cash situation for the month of February 2023 (6 Marks)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Project Management Accounting Budgeting Tracking And Reporting Costs And Profitability

Authors: Kevin R. Callahan, Gary S. Stetz, Lynn M. Brooks

1st Edition

0470044691, 978-0470044698

More Books

Students also viewed these Accounting questions

Question

=+Does it showcase the firm's benefits?

Answered: 1 week ago

Question

=+ Does it list exciting places to go and famous sites to see?

Answered: 1 week ago