Requirement $1.$ Prepare Humble Company's schedule of cash receipts from customers and schedule of cash payments for the first quarter of $2018.$

Begin by preparing the schedule of cash receipts from customers for the first quarter of $2018.$

Cash Receipts from Customers

Requirements

Prepare Humble Company's schedule of cash receipts from customers and

schedule of cash payments for the first quarter of $2018.$

Prepare Humble Company's cash budget for the first quarter of $2018.$

Data table

More info

Capital expenditures include $$43,000$ for new manufacturing equipment to be

a$.$ purchased and paid in the first quarter.

Cash receipts are $80\%$ of sales in the quarter of the sale and $20\%$ in the

b$.$ quarter following the sale.

Direct materials purchases are paid $70\%$ in the quarter purchased and $30\%$ in

c$.$ the next quarter.

Direct labor, manufacturing overhead, and selling and administrative costs are

d$.$ paid in the quarter incurred.

Income tax expense for the first quarter is projected at $$44,000$ and is paid in

e$.$ the quarter incurred.

Humble Company expects to have adequate cash funds and does not

f$.$ anticipate borrowing in the first quarter.

The December $31,2017,$ balance in Cash is $$45,000,$ in Accounts Receivable

$g.$ is $$23,200,$ and in Accounts Payable is $$11,600.$