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Please assist me in completing the sales budget by providing accurate answers to the following questions The budget director for Munoz Cleaning Services prepared the

Please assist me in completing the sales budget by providing accurate answers to the following questions

The budget director for Munoz Cleaning Services prepared the following list of expected selling and administrative expenses. All expenses requiring cash payments are paid for in the month incurred except salary expense and insurance. Salary is paid in the month following the month in which it is incurred. The insurance premium for six months is paid on October 1. October is the first month of operations; accordingly, there are no beginning account balances.

Required

  1. Complete the schedule of cash payments for S&A expenses by filling in the missing amounts.
  2. Determine the amount of salaries payable the company will report on its pro forma balance sheet at the end of the fourth quarter.
  3. Determine the amount of prepaid insurance the company will report on its pro forma balance sheet at the end of the fourth quarter

Complete this question by entering your answers in the tabs below.

  • Req A
  • Req B and C

Complete the schedule of cash payments for S&A expenses by filling in the missing amounts.

October November December
Budgeted S&A Expenses
Equipment lease expense $5,800 $5,800 $5,800
Salary expense 6,800 7,300 7,700
Cleaning supplies 2,810 2,790 3,040
Insurance expense 1,200 1,200 1,200
Depreciation on computer 2,100 2,100 2,100
Rent 1,900 1,900 1,900
Miscellaneous expenses 610 610 610
Total operating expenses $21,220 $21,700 $22,350
Schedule of Cash Payments for S&A Expenses
Equipment lease expense
Prior months salary expense, 100%
Cleaning supplies
Insurance premium
Depreciation on computer
Rent
Miscellaneous expenses
Total disbursements for operating expenses $18,320 $17,900 $18,650

Determine the amount of salaries payable and prepaid insurance the company will report on its pro forma balance sheet at the end of the fourth quarter.

b. Salaries payable
c. Prepaid insurance

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