q

A B D G H 1 K Y 1 Total = 15.0 marks in s WINH ABC Co. is in the final stages of preparing its master budget for 2022. The following budgeted data has been provided for the company > Budgeted sales: January February March Budgeted sales in units 9,000 10,500 11,000 10,000 Sales in dollars $108,000 $126,000 $132.000 $120,000 April 4 6 7 8 80% 9 > Cash sales 20% Credit sales (sales on account) > The collection pattern for the credit sales has traditionally been as follows: Month of sale First month following sale Second month following sale 15% 10 35% 11 50% 12 13 4 5 > Raw Material purchases January February March April Raw material purchases $72.000 $95.000 $105,000 $88,000 Note: Raw material purchases are purchased on account, with 40% paid in the month of purchase and the balance owed paid the following month 5 7 > Monthly operating expenses are budgeted as follows: Direct labour Variable overhead Fixed overhead (includes $1,000 of doororistiani Sales commissions (paid in the current month) Advertising $4,400 per month 110% of direct labour cost $8,300 5% of sales $11,700 > Other expenditures The company will purchase and pay for equipment in following months: February $25,000 March $12,000 Cash dividends = $10,000 are paid in March, June, September and December > Cash balance requirements and interest The company must maintain a minimum cash balance of $15,000 each month. Money is borrowed at the beginning of the month and repaid at month end. Interest is paid each month and the rate is 12% per year. The cash balance on March 1 = $17,500. Required: 1 Calculate the total expected cash collections for the month of March. (5 marks) 5.0 B D 34 G H 1 1 35 beginning of the month and repaid at month end. Interest is paid each month and the rate is 12% per year. The cash balance on March 1 = $17.500. Required: Calculate the total expected cash collections for the month of March. (5 marks) 36 37 1 38 5.0 39 40 Symons Manufacturing Schedule of Expected Cash Collections For the Month ending March 31, 2022 41 42 43 45 46 47 48 Total expected cash collections for March 49 50 2 Calculate budgeted cash expenditures for raw materials and the accounts payable balance on March 31. (2 marks) 51 2.0 52 53 54 Total Cash Expenditures 55 56 Accounts payable March 31 57 58 59 2 Prepare the Cash Budget for March 31. (8 marks) 8.0 60 8 9 8 8 8 8 8 8 8 8 9 9 8 61 62 ABC Co. Cash Budget For the Month ending March 31, 2021 64 65 Beginning Cash Balance 67 Total Cash available Less Cash disbursements 68 69 70 71 72