Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

HOW TO PREPARE A CASH BUDGET You are working for Little Feet Inc. and you need to prepare the cash budget for April to

image text in transcribed

HOW TO PREPARE A CASH BUDGET You are working for Little Feet Inc. and you need to prepare the cash budget for April to June INFORMATIONS 1) The cash balance March 31, 16 200$ 2) The montly sales are: JANUARY FEBRUARY MARCH 159,000.00 $ APRIL MAY JUNE 161,000.00 $ 163,200.00 $ 2% INCREASE FROM THE LAST MONTH 2,5% INCREASE FROM THE LAST MONTH 2,75% INCREASE FROM THE LAST MONTH 3) We estimated that the sales cashing will be: CASH SALES 30 DAYS 60 DAYS 90 DAYS 20% 60% 10% 10% 4) The business is going to buy equipment in June, total value 54 000$ 5) The purchase represent 30% of the monthly sales. They are going to be paid cash 6) The payroll represent 19% of the monthy sales

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

Advanced Accounting

Authors: Joe Hoyle, Thomas Schaefer, Timothy Doupnik

10th edition

0-07-794127-6, 978-0-07-79412, 978-0077431808

More Books

Students also viewed these Accounting questions