Answered step by step
Verified Expert Solution
Question
1 Approved Answer
I need answer in excel with all formula wriiten besides on it please Computer the cash budget for April, May and June based on the
I need answer in excel with all formula wriiten besides on it please
Computer the cash budget for April, May and June based on the following information: Sales are as follows: Collections are made as follows: 30% In month of sale 50% One month after sale 20% Two months after sale Purchases ( 60% of sales)are made two months in advance of sales, and paid for one month later. Rent is $7,500/ month, Other expenses are $10,000 per month. Sales tax ( 5% of sales) is paid one month after month of sale. A quarterly tax payment of $25,000 is due in June. The company is required to keep $10,000 in its checking account for its line, which charges 1% per month interest on any outstanding balance. The company has $15,000 in its account on March 31st. Computer the cash budget for April, May and June based on the following information: Sales are as follows: Collections are made as follows: 30% In month of sale 50% One month after sale 20% Two months after sale Purchases ( 60% of sales)are made two months in advance of sales, and paid for one month later. Rent is $7,500/ month, Other expenses are $10,000 per month. Sales tax ( 5% of sales) is paid one month after month of sale. A quarterly tax payment of $25,000 is due in June. The company is required to keep $10,000 in its checking account for its line, which charges 1% per month interest on any outstanding balance. The company has $15,000 in its account on March 31stStep 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