Answered step by step
Verified Expert Solution
Question
1 Approved Answer
help Prepare a Cash Flow Budget for the Too Bicycle Manufacturing Company. The owner will be withdrawing $ 4,500.00 per month for personal expenses. Plus,
help
Prepare a "Cash Flow Budget" for the Too Bicycle Manufacturing Company. The owner will be withdrawing $ 4,500.00 per month for personal expenses. Plus, you get a $10,000 loan in January. It is expected to have a cash balance of 20,000 monthly Projected sales December - 70,000.00 January - 50,000.00 February - 50,000.00 March - 60,000.00 April - 50,000.00 80% of sales are on credit and will be charged; 20% at 30 days, 50% at 60 days and 30% at 90 days . Cost of what is sold is 20% of monthly sales and is paid in full after thirty days Salaries represent 5% of sales Profits represent a monthly expense of $ 3,000.00 The capital gain represents an expense of 1,500.00 dollars per year Rent is equivalent to 6,000.00 dollars per year Payment of tax of 5000.00 in April A) Income received December, January, February, March, April Cash 30 60 90 Total B) (Flujos de efectivos) Cash flow JANUARY, FEBRUARY, MARCH, APRIL Previous balance Income C.G.S Cash available Total expenditures Tax Cash flow Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started