ID No: Instructions: 1. Last date of submission is 3.04.2021 (Saturday) 2. Assignment should be submitted on or before specified date, any delay will result in deduction of marks. 3. Solve all the questions on a white paper with your own handwriting with required working notes and then paste the photo/images of solutions on a word file. Save the word file with your ID and Submit it through e-learning. The link name is MAC 1 Assignment Semester 2, 2020-21 QUESTION 1 Muscat Electronics Company is in the business of buying and selling of different types of electronical products in different region of Oman and provided the following data to understand the cash position every month start from January to July, 2021. The sales book reported the sales amount for seven months as below:- January February March April May June July 30,000 28,000 32,000 32,800 34,600 26,800 32,400 The sales reported every month including cash sales and credit sales. Cash sales constitute 40% of total sales collected in the month of sales and the balance is credit sales received in the month following the month of actual sales. The detail of goods purchased in cash during seven months reported in purchase book as below: - March April May June July January February 4,000 3,500 3,600 4,200 4,800 4,400 3,800 Company also purchased goods on credit from different suppliers. The detail of credit purchase from the month January to July is given below:- January February March April May June July 12,000 11,000 13,200 14,400 15,800 9,800 13,600 Cash purchases payable in the month of purchases and credit purchases are payable to supplier in two months following the month of credit purchase. It is also found from the accounting records that the company purchased plant and equipment for RO 9,000 in the month of March and it is payable in three equal instalments starting from April. Tax department has sent a notice to the company to pay taxes of RO 2,000 each in the month of May and June. The wages and office expenses are paid in the month following the month in which wages and office expenses incurred. The detail of wages and office expenses is given below:- March April June January February 2,000 2,250 May 1,900 July 2,800 2,750 2,780 1,600 Wages Office Expenses 1,500 1,200 1,400 1,300 1,100 900 2,000 The selling expenses of the company recorded for the seven months are as follows: - January February March April May June July 650 850 750 650 680 550 850 The company also incurred administrative expenses for the period January to July. The detail of administrative expenses is given as below:- January February March April May June July 700 800 900 1,000 1.100 1,200 1,300 The company is paying the selling and administration expenses in one months following the month in which such expenses incurred. The cash balance as on 1st January is RO 15,500. Requirement: The Company has requested you to prepare Cash budget for the period of six month (January to June)