Sales: February = $500,000; March = $500,000; April = $560,000; May = $610,000; June = $650,000; July = $650,000 Purchases: Purchases are calculated as 60% of the next months sales, 10% of purchases are made in cash, 50% of purchases are paid for 1 month after purchase, and the remaining 40% of purchases are paid for 2 months after purchase. Rent: The firm pays rent of $8,000 per month. Wages and salaries: Base wage and salary costs are fixed at $6,000 per month plus a variable cost of 7% of the current months sales. Taxes: A tax payment of $54,500 is due in June. Fixed asset outlays: New equipment costing $75,000 will be bought and paid for in April. Interest payments: An interest payment of $30,000 is due in June. Cash dividends: Dividends of $12,500 will be paid in April. Principal repayments and retirements: No principal repayments or retirements are due during these months.
Answer - fill in the blue boxes below.
	A Schedule of Projected Cash disbursements for Maris Brothers Inc.
		February	March	April	May	June	July
Sales		$500,000	$500,000	$560,000	$610,000	$650,000	$650,000
Purchases (0.60 sales)
Cash purchases (0.10)
Payments of A/P:
Lagged 1 month (0.50)
Lagged 2 months (0.40)
Rent payments				$8,000	$8,000	$8,000
Wages and salaries
Fixed				$6,000	$6,000	$6,000
Variable
Tax payments				$0	$0	$54,500
Fixed-asset outlays				$75,000	$0	$0
Interest payments				$0	$0	$30,000
Cash dividend payments				$12,500	$0	$0
Principal payments				$0	$0	$0
Total cash disbursements