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Schedule of Cash Payments for a Service Company EastGate Physical Therapy Inc. is planning its cash payments for operations for the first quarter (January-March). The
Schedule of Cash Payments for a Service Company EastGate Physical Therapy Inc. is planning its cash payments for operations for the first quarter (January-March). The Accrued Expenses Payable balance on January 1 is $34,300. The budgeted expenses for the next three months are as follows: February January March $78,900 Salaries $96,000 $106,300 8,600 Utilities 6,500 7,200 72,000 Other operating expenses 60,000 65,400 Total $145,400 $168,600 $186,900 Other operating expenses include $4,300 of monthly depreciation expense and $1,000 of monthly insurance expense that was prepaid for the year on May 1 of the previous year. Of the remaining expenses, 70% are paid in the month in which they are incurred, with the remainder paid in the following month. The Accrued Expenses Payable balance on January 1 relates to the expenses incurred in December. Prepare a schedule of cash payments for operations for January, February, and March. Enter all amounts as positive numbers. EastGate Physical Therapy Inc. Schedule of Cash Payments for Operations For the Three Months Ending March 31 January February March Payments of prior month's expense 16,410X $ 18,030 X 34,300 Payments of current month's expense 123,690X 42,070X X 161,590 123,690X $ 161,680X $ 179,620X Total cash payments Feedback
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