(Handwritten If possible)

Question 01 Garden Depot is a retailer that is preparing its budget for the upcoming fiscal year. Management has prepared the following summary of its budgeted cash flows: Total Cash Receipts Total Cash Disbursments 1st Quarter 186400 260000 2nd Quarter 3rd Quarter 4th Quarter 335000 450000 230000 340000 220000 240000 The company's beginning cash balance for the upcoming fiscal year will be $20,000. The company requires a minimum cash balance of $10,000 and may borrow any amount needed from a local bank at a quarterly interest rate of 4.5%. The company may borrow any amount at the beginning of any quarter and may repay its loans, or any part of its loans, at the end of any quarter. Interest payments are due on any principal at the time it is repaid. For simplicity, assume that interest is not compounded. Required: Prepare the company's cash budget for the upcoming fiscal year. Question 02 Robertson Company makes a product that is very popular as a Mother's Day gift. Thus, peak sales occur in May of each year, as shown in the company's sales budget for the second quarter given below: April May June Total Budgeted Sales (all on account) 350000 450000 250000 1050000 From past experience, the company has learned that 15% of a month's sales are collected in the month of sale 70% are collected in the month following sale 15% are collected in the second month following sale. Bad debts are negligible and can be ignored. February sales totaled $235,000 March sales totaled $260,000 Required: 1. Prepare a schedule of expected cash collections from sales, by month and in total, for the second quarter 2. Assume that the company will prepare a budgeted balance sheet as of June 30. Compute the accounts receivable as of that date