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please help with homework. thanks :) only do part a Question 8.10. REQUIRED a. Complete the debtors collection schedule of Two Direction traders for the
please help with homework. thanks :)
only do part a
Question 8.10. REQUIRED a. Complete the debtors collection schedule of Two Direction traders for the period 1 May 20.6 to 30 June 20.6. Complete the cash budget of Two Direction Traders for the period 1 May 20.6 to 30 June 20.6. b. INFORMATION The following actual and budgeted amounts of Two Direction were presented to you: Actual March 20.6 April 20.6 R R Credit sales 80 000 94 000 Cash sales 38 000 42 000 Credit purchases 25 000 25 500 43 000 45 000 Cash purchases 2 100 2 300 Other cash expenses Budgeted May 20.6 June 20.6 R R 94 000 102 000 42 000 50 000 30 000 32 000 51 000 55 000 2400 2 600 . Additional information 1. The bank account in the general ledger had a credit balance of R2 000 on 30 April 20.6. 2. Debtors are expected to pay their accounts as follows: 70% after 30 days; 25% after 60 days; and 5% is written off. 3. Creditors are paid 30 days after the purchase has been made. 4. Interest on an investment of R10 000 at 15% per annum is received in two equal amounts in June and December every year. 5. Each month, the owner withdraws cash of R3 000 and inventory of R1 000 for personal use. 6. A new vehicle of R102 000 will be purchased in May 20.6. A deposit of R40 000 will be made on 10 May 20.6 and thereafter a monthly instalment of R2 500 will be paid with effect from 1 June 20.6Step by Step Solution
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