Problem 22-6AA (Algo) Merchandising: Preparation of cash budgets (for three periods) LO P4 Oneida Company's operations began in August August sales were $170,000 and purchases were $105.000. The beginning cash balance for september is $32,000 Oneida's owner approaches the bank for a $101.500 loan to be made on September 2 and repaid on November 30, The bank's loan officer asks the owner to prepare monthly cash budgets. Its budgeted sales, merchandise purchases, and cash payments for other expenses for the next three months follow Budgeted September October Sales November 5 220,000 $ 405,000 $ 580,000 Merchandise purchases 225,000 220,000 195,000 Cash payments Salaries 30,600 30,600 38,600 Rent 9,000 9,000 Insurance 4.900 4,900 4,900 Repayment of loan 101,500 Interest on loan 1,015 1,015 1,015 9.000 CS All sales are on credit where 74% of credit sales are collected in the month following the sale, and the remaining 26% collected in the second month following the sale. All merchandise is purchased on credit 84% of the balance is paid in the month following a purchase, and the remaining 16% is paid in the second month. Required: Prepare the following for the months of September October, and November 1. Schedule of cash receipts from sales. 2. Schedule of cash payments for direct materials 3. Cash budget Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required Required: Prepare the following for the months of September October, and November 1. Schedule of cash receipts from sales. 2. Schedule of cash payments for direct materials. 3. Cash budget Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare the schedule of cash receipts from sales. ONEIDA COMPANY Schedule of Cash Receipts from Sales September October November $ 220,000 $ 405,000 $ 500,000 Sales Cash receipts from Prior period sales Two periods prior sales Total cash receipts S 0 $ 0 uired: pare the following for the months of September October, and November Ehedule of cash receipts from sales. chedule of cash payments for direct materials. Lash budget Complete this question by entering your answers in the tabs below. Required 1 Required I Required 3 Prepare the schedule of cash payments for direct materials. ONEIDA COMPANY Schedule of Cash Payments for Direct Materials September October November Materials purchases $ 225,000 $ 220,000 $ 195,000 Cash payments for Prior period purchases Two periods prior purchases Total cash payments $ 0 $ 0 $ 3. Cash budget Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare the cash budget. ONEIDA COMPANY Cash Budget September October November $ 32,000 $ 125,585 $ 81,270 Beginning balance Add Cash receipts from sales Total cash available Less: Cash payments for 32,000 125,585 81,270 Rent Salaries Insurance Total cash payments Preliminary cash balance Loan activity Additional loan Repayment of loan Ending cash balance 0