MASTER BUDGET PROJECT: CASH BUDGET TEMPLATE ACCT 5362 | Accounting Principles Use the following as inputs into the Cash Budget: Capital Budget: Equipment costing $300,000 will be purchased at the end of Q2, paid in cash. The equipment will not be placed into service for purposes of depreciation until after the end of the year due to installation and Other cash items: Tax Rate: 30% The beginning cash balance is $5,000 and the company intends to maintain this level of cash ($5,000-$6,000) at the end of each quarter. If the cash balance exceeds $6,000, the surplus in moved to Savings in $1,000 increments at the end of the quarter. All components of cash COGS (DM, DL, VMOH) and cash SG&A are paid 2/3 in the quarter incurred/purchased and 1/3 in the following quarter. Depreciation must be subtracted from the COGS to derive cash COGS. Fixed Overhead and Fixed SG&A are paid 100% in the quarter incurred. All Fixed Assets are depreciated over 10 years (40 quarters). However, the new equipment purchased in Q2 2021 was not placed in service by 12/31/2021. Therefore, no depreciation was recorded on the equipment for 2021. Sales are collected 50% in the quarter of sale and the balance in the following quarter based on the budgeted income statement from week 5. Taxes are paid in the quarter following the quarter incurred based on the buedgeted income statement from week 5. 15 17 Use the template below to prepare the Cash Budget. 18 Cash Budget 2021 01 Q2 03 04 20 Beg Cash $5,909 5,48 5,858 5,771 Collections $420,000 $450,000 $600,000 $840,000 Total Cash Collections $425,909 $455,482 $605,858 $845,771 Disbursements: DM ($27,658) ($29,704) ($39, 753) ($42,999) DL ($71,400) ($105,400) ($146,200) ($175,100) VOH ($2,280) ($2,480) ($3,440 ($4,120) FOH ($210,000) ($210,000) ($210,000 $210,000) VSGA ($18,200) ($19,933) ($27,733) ($38,133) FSGA ($85,000) ($85,000) ($85,000 ($85,000) Capital Purchases $300,000 $0 $0 Interest Expense $0 ($720) ($10,020) ($10,020) Miscellaneous Cash Expense ($25,502) SO SO Tax Expense ($6,387) ($6,387) $10,941 $27,230 Total Disbursements $446,427) $759,624 $533,087 $592,602 35 Excess (deficiency) of available Cash $20,518) ($304,142) $72,771 $253,169 36 Trfd (To)/From Savings $2,000 Loans borrowed (repaid) $24,000 $310,000 ($67,000) ($248,000) Ending Cash $5,482 $5.858 $5,771 $5,170Post the entries to produce the post-closing trial balance. (Note: the ending balance sheet for one year is the beginning balance sheet for the following year.) The above entries produced the following post-closing trial balance: Husky Co. Trial Balance Dec. 31 2020 Debit Credit Cash 5,909 Savings Account 2,000 Accounts Receivable 210,000 Inventory 121,927 Fixed Assets-Mfg 2,400,000 Fixed Assets-SG&A 200,000 Accum Depreciation-Mig 60,000 Accum Depreciation-SG&A 5,000 Accounts Payable 53,546 Loans Payable Income Tax Payable (Benefit) 6,387 Capital Stock 300,000 Additional Paid in Capital 2,500,000 Retained Earnings 14,904 Totals 2,939,837 2,939,837Sales Cost of Goods Sold Gross Prot SG&A Expenses Operating Prot Interest Expense Taxable Income Income Tax Net Income Husky C0. Budgeted Income Statement by Quarter For the Year Ended Dec 31, 2021 Q1 $420,000 290,509 $129,491 ($108,200) $21,291 $0 $21,291 ($6,387) $14,904 Q2 $480,000 332,010 $147,990 (81 10,800) $37,190 ($720) $36,470 ($10,941) $25,529 Q3 Q4 $720,000 $960,000 498,015 664,020 $221,985 $295,980 ($121,200) ($131,600) $100,785 $164,380 ($10,020) ($18,030) $90,765 $146,350 ($27,230) ($43,905) $63,536 $102,445 Annual $2,580,000 1,784,554 $795,446 ($471 ,800) $323,645 ($28,770) $294,876 ($88,463) $206,413 Send me what you have so far. Basically you need to use the whole project to make your ending trial balance which is the ending bal column. For example you use cash budget for the cash column, and accounts receivable. You need to use budgeted income statement for the closing entries for the income statement accounts, and for the retained earnings entry. There are some items that had no changes in the period so those the balances would just be the same as the beginning. Hope this helps. Send MASTER BUDGET PROJECT: ADJUSTING AND CLOSING BOOK ENTRIES TEMPLATE ACCT 5362 | Accounting Principles WEEK 7: To "close the books" for the year, review Principles of Accounting, Volume 1: Financial Accounting, Chapter 4, The Adjustment Process. Specifically, refer to the 10-column worksheet on p. 248 for the conceptual layout. Following is an 8-column format that can serve the same purpose. Use whichever makes more sense to you. Prepare the adjusting and closing entries for 2021 based on the budgeted income statement and Cash budget from prior week. Fixed assets have no salvage value over a 10 year period. Beginning Bal. 12.31.20 (Trial Balance) Adjusting Entries Closing Entries Ending Bal. Worksheet Debit Credit Debit Credit Debit Credit Debit Credit Cash 5,909 Cash budget Savings Account 2,000 $2,000 Cash budget Accounts Receivable 210,000 480,000 Cash budget Inventory 121,92 1,784,555 121,927 Budgeted income statement Fixed Assets-Mfg 2,400,000 Cash budget Fixed Assets-SG&A 200,000 Week 1 Trial Balance Accum Depreciation-Mfg 60,000 Depreciation is the same for each quarter in 2021 as it is for Week 1 trial balance for Q4 2020 Accum Depreciation-SG&A 5,000 20,000 Depreciation is the same for each quarter in 2021 as it is for Week 1 trial balance for Q4 2020 Accounts Payable 53,545 53,545 89,865 89,865 Budgeted income statement & cash budget Loans Payable 19,000 Cash budget Interest Payable Q4 interest expense from budgeted income statement - Q4 interest actually paid from cash budget Income Tax Payable (Benefit) 6,387 6,387 43,905 43,905 Budgeted income statement & cash budget Capital Stock 300,000 Week 1 Trial Balance Additional Paid in Capital 2,500,000 2,500,000 Week 1 Trial Balance Retained Earnings 14,904 206,413 use this amount for your net income if in previous weeks you had 206412 I didn't take any points off as it's a rounding error but this amount will be what you use for next week Sales Budgeted income statement COGS Budgeted income statement SG&A Expenses Budgeted income statement Interest Expense Budgeted income statement Income Tax Expense Budgeted income statement 2,939,836 2,939,836 $ 7,308,075 7,308,075 2,580,000 $ 2,580,000 $ 3,507,097 $ 3,507,097 TotalsPRINTING PLUS 10-Column Worksheet For the Month Ended January, 2019 Account Name Trial Balance Adjustments Adjusted Trial Income Balance Statement Balance Sheet Debit Credit Debit Credit Debit Credit Debit Credit Debit Credit Cash 24,800 24,800 24,800 Accounts Receivable 1,200 1,200 1,200 Interest Receivable 140 140 140 Supplies 500 100 400 400 Equipment 3,500 3,500 3,500 Accumulated Depreciation: 75 75 75 Equipment Accounts Payable 500 500 500 Salaries Payable 1,500 1,500 1,500 Unearned Revenue 4,000 600 3,400 3,400 Common Stock 20,000 20,000 20,000 Dividends 100 100 100 Interest Revenue 140 140 140 Service Revenue 9,500 600 10,100 10,100 Supplies Expense 100 100 100 Depreciation Expense: 75 75 75 Equipment Salaries Expense 3,600 1,500 5,100 5,100 Utility Expense 300 300 300 Totals 34,000 34,000 2,415 2,415 35,715 35,715 5,575 10,240 30,140 25,475 Net Income 4,665 4,665 10,240 10,240 30,140 30,140