1. Here are some important figures from the budget of Cornell, Inc., for the second quarter of 2020:

April May June

Credit Sales $311,000 $291,000 $351,000

Credit Purchases $119,000 $142,000 $167,000

Cash Disbursements (wages, taxes and expense)

43,100 10,600 62,100

Expenses

Interest 10,100 10,100 10,100

Equipment Purchases 71,000 132,000 0

The company predicts that 5 percent of its credit sales will never be collected, 35 percent of its sales will be collected in the month of the sale, and the remaining 60 percent will be collected in the following month. Credit purchases will be paid in the month following the purchase.

In March 2020, credit sales were $181,000, and credit purchases were $121,000. Using this information, complete the following cash budget. (Do not round intermediate calculations.)

Hint: Sections that have B will need answered

APRIL MAY JUNE

Beginning Cash Balance 114000 B B

Cash Receipts

Cash Collections from credit sales B B B

Total Cash Available B B B

Cash Disbursements

Purchases B B B

Wages,Taxes and Expenses B B B

Interest B B B

Equipment Purchases B B B

Total Cash Disbursements B B B

Ending Cash Balance B B B