Question
Q4 HASF PVT.LTD BUDGETED INCOME STATEMENT FOR 1 st QUARTER 1999 Description JANUARY FEBRUARY MARCH Sales 285,000 323,000 221,000 Purchases 129,000 168,000 95,000 Wages 35,000
Q4
HASF PVT.LTD | |||
BUDGETED INCOME STATEMENT | |||
FOR 1st QUARTER 1999 | |||
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Description | JANUARY | FEBRUARY | MARCH |
Sales | 285,000 | 323,000 | 221,000 |
Purchases | 129,000 | 168,000 | 95,000 |
Wages | 35,000 | 37,000 | 30,000 |
Supplies | 26,000 | 23,000 | 21,500 |
Utilities | 6,500 | 8,700 | 7,200 |
Rent | 15,000 | 12,800 | 13,600 |
Insurance | 12,000 | 12,000 | 12,000 |
Advertising | 24,500 | 28,500 | 18,000 |
Depreciation | 20,000 | 20,000 | 20,000 |
Net Profit | 17,000 | 13,000 | 3,700 |
Please make a cash budget for the months of January, February and March 1999 based on the data for
View sonic Receivable Trend:
30% of Sales are collected in the month of sale
30% of Sales are collected after the month of sale
40% of Sales are collected two months after the sale is made
View sonic Payable Trend:
10% of Purchases are paid for in the month of purchase
35% of Purchases are paid after the month of purchase
55% of Purchases are paid two months after the purchase is made
Additional Information:
Rent and Insurance expense were prepaid at the end of 1998
All other expenses are paid for in the month they were incurred
November Sales = 195,000
November Purchases = 100,000
December Sales = 250,000
December Purchases = 165,000
Please see attached Budgeted Income Statement for 1st Quarter 1999
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