Please help me solve this task
Valli Co is preparing its cash budget for 208. Expected sales revenue for the first six months of the year are as follows: Normally 60% of sales revenues are received in the month of sale, in the month after two months after and is written off as bad debts. Revenues have been assumed to follow a time series with Revenue * M , with M= the month number. Vaili Co expects to have opening inventory for each month of of that month's demand. The purchase cost per unit is assumed to be of sales price. The following are expected to occur in May 208 : - Valli Co settling its tax liability for the year ended 31 December 2000 of - Valli Co declaring a final dividend of for the year to 31 December 207, the dividend to be paid on 15 June 208 - Quarterly rent of for the period June to August 208 being paid in advance. - The depreciation charge for May being - Three lorries being sold for $30000. with a loss on sale of - Bad debts of being written off Required: (a) What are the expected sales receipts for March? (b) What are the expected purchases for April? (c) State whether the following would be includedot be included in the cash budget for May. (i) Tax for the year ended 31 December 20x7 of $50000 (ii) Dividend for the year ended 31 December 20x7 of $70000 (iii) Quarterly rental for the period June to August 20x8 of $30000 (iv) Depreciation charge of $14000 (v) Loss on sale of lorries of $4000 (vi) Bad debts written off of $15860 (d) July 208 corresponds to in the time series and its revenues are expected to be 1,02 of trend. What is the expected sales revenue for luly 2088 ? (e) At the end of September 20x8, Valli Co's accountant expects there to be a temporary cash shortage. Answer yes or no to whether the following measures could alleviate the cash shortage. (i) Offering more generous payment periods to customers (i) Delaying paying suppliers () Organising an overdraft (iv) Writing off low value inventory Valli Co is preparing its cash budget for 208. Expected sales revenue for the first six months of the year are as follows: Normally 60% of sales revenues are received in the month of sale, in the month after two months after and is written off as bad debts. Revenues have been assumed to follow a time series with Revenue * M , with M= the month number. Vaili Co expects to have opening inventory for each month of of that month's demand. The purchase cost per unit is assumed to be of sales price. The following are expected to occur in May 208 : - Valli Co settling its tax liability for the year ended 31 December 2000 of - Valli Co declaring a final dividend of for the year to 31 December 207, the dividend to be paid on 15 June 208 - Quarterly rent of for the period June to August 208 being paid in advance. - The depreciation charge for May being - Three lorries being sold for $30000. with a loss on sale of - Bad debts of being written off Required: (a) What are the expected sales receipts for March? (b) What are the expected purchases for April? (c) State whether the following would be includedot be included in the cash budget for May. (i) Tax for the year ended 31 December 20x7 of $50000 (ii) Dividend for the year ended 31 December 20x7 of $70000 (iii) Quarterly rental for the period June to August 20x8 of $30000 (iv) Depreciation charge of $14000 (v) Loss on sale of lorries of $4000 (vi) Bad debts written off of $15860 (d) July 208 corresponds to in the time series and its revenues are expected to be 1,02 of trend. What is the expected sales revenue for luly 2088 ? (e) At the end of September 20x8, Valli Co's accountant expects there to be a temporary cash shortage. Answer yes or no to whether the following measures could alleviate the cash shortage. (i) Offering more generous payment periods to customers (i) Delaying paying suppliers () Organising an overdraft (iv) Writing off low value inventory
