prepare a cash budget for January and february

Question 2 of 16

Question 2 of 16 View Policies Your answer has been saved. See score details after the due date. Nadia Company expects to have a cash balance of $45,000 on January I, 2020. Nadia has budgeted the following for the first two months of the year 2020: I. 2. 3. 4. 5. 6. Collections from customers: January $89,800; February $109,200. Payments to suppliers: January $40,100; February $49,900. Direct labour: January $29,800; February $35,000. Wages are paid in the month they are incurred. Manufacturing overhead: January $25,100; February $29,900. Overhead costs are paid as incurred. Selling and administrative expenses: January $15,900; February $21,800. These costs do not include depreciation and they are paid as incurred. Sales of investments in January are expected to realize $10, 100 in cash. Nadia Company wants to keep a minimum monthly cash balance of $20,000.