Help with cash budget

Sales figures 20X0 04 01 50.000 55.000 10S S frame unit sales S sales price L frame unt sales es price L 40 60% 40.000 45.000 15S Percent of sales made for cash in the quarter of sale Percent of sales made on credit Collections O 20% of current quarter's credit sales of previos quarter's credit sales 17 Purchases 20X0 20X1 20 55.000 SOLO 57 S frame unit purchases S manufacturing cost per unit L frame unit purchases manufacturing costerul 22 40 000 45.00 80% 20% of current quarter's purchases paid in the current Quarter of previous Quartier's purchases paid in the current auartier Other e nses Selling and admin expenses Payment of dividends $ $ 100.000 50.000 per quartier per quarter Prepare the following: 1 Sales budet 2 Cash receipts budet 3 Cash disbursements budget 4 Summary cash budet SENES HCI Corporation is completing their cash budget for the following year. HC Corporation is a manachurer of metal picture frames. The firm's two product lines are designated as small frames: 5x7 inches and large frames: 8 x 10 inches). Here is the provided budget information: 1. Sales in the fourth quarter of 2010 are expected to be 50.000 frames and 40,000 frames. Over the next year sales in each product line will grow by 5,000 units each quarter over the previous quarter. For example, Sframe sales in the first quarter of 201 are expected to be 55,000 units 2. HC's sales history indicates that 60 percent of all sales are on credit with the remainder of the sales in cash. The company's collection experience shows that 80 percent of the credit sales are collected during the quarter in which the sale is made, while the remaining 20 percent is collected in the following quarter for simplicity assume the company is able to collect 100 percent of its accounts receivable) SSSSSSSSSSS 3. The frame sells for $10, and the L frame sells for $15. These prices are expected to hold constant throughout 2001 4. Total manufacturing cost per unit is $7 for the frame and $10 for the frame. All manufacturing cost purchases are made on account, and 80 percent of each quarter's purchases are paid in cash during these quarter as the purchase The other 20 percent is paid in the next Quarter Units sold equal units purchased 5. Selling and administrative expenses, all paid in cash, are $100,000 per quarter 6. Dividend payments are $50,000 per quarter 7. The beginning cash balance for Q1 of 201 is $95.000 Prepare the following for each of the four quarters of 200- 1 Sales bude 2. Cash receipts budget 3. Cash disbursements budget 4. Summary cash budet