Problem 24-04A a-b (Video) Colter Company prepares monthly cash budgets. Relevant data from operating budgets for 2020 are as follows February January $442,800 147,600 110,700 86,100 97,170 $492,000 153,750 123,000 92,250 104,550 Sales Direct materials purchases Direct labor Manufacturing overhead Selling and administrative expenses All sales are on account. Collections are expected to be 50% in the month of sale, 30% in the first month following the sale, and 20% in the second month following the sale. Sixty percent (60%) of direct materials purchases are paid in cash in the month of purchase, and the balance due is paid in the month following the purchase. All other items above are paid in the month incurred except for selling and administrative expenses that include $1,230 of depreciation per month Other data 1. Credit sales: November 2019, $307,500; December 2019, $393,600 2. Purchases of direct materials: December 2019, $123,000 3. Other receipts: January Collection of December 31, 2019, notes receivable $18,450; February-Proceeds from sale of securities $7,380 4. Other disbursements: February-Payment of $7,380 cash dividend The company's cash balance on January 1, 2020, is expected to be $73,800. The company wants to maintain a minimum cash balance of61,500 Prepare schedules for (1) expected collections from customers and (2) expected payments for direct materials purchases for January and February Expected Collections from Customers February January November December January February Total collections s Expected Payments for Direct Materials February January December January February Total payments Prepare a cash budget for January and February in columnar form COLTER COMPANY Cash Budget February January LINK TO TEXT VIDEO: SIMILAR