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October Credit Services provided 18 000 Stacey's Landscaping Solutions provides services to landlords and property owners. The following data relates to the expected operations
October Credit Services provided 18 000 Stacey's Landscaping Solutions provides services to landlords and property owners. The following data relates to the expected operations for the three months of October to December 2022. December 12 400 November 12 000 Receipts from Debtors 20 000 30 000 5 000 Cash services provided 1950 2 250 3 300 Payment to Suppliers 4 800 13 500 4 800 Credit Purchases of supplies 3 900 2 150 1890 Additional Information: Stacey plans to purchase new Equipment in October of $12,000 cash . The old equipment is expected to be sold in November for $4,000 Salaries paid each month are $8,500 Administrative costs paid each month are $2,000 Depreciation on equipment in October is $500 and will increase to $1,200 each month from November due to the new equipment purchased. Stacey likes to keep a minimum cash balance of $12,000 each month The cash balance as at 30 September 2022 was $15 000. Required: Prepare a cash budget on a monthly basis for the three months ending December 2022.
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