Question
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).
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 $30,600. The budgeted expenses for the next three months are as follows: Salaries Utilities Other operating expenses Total: January February March $70,400 $85,700 $94,900 5,800. 6,400 7,700 53,500 58,300 64,200 $129,700 $150,400 $166,800 Other operating expenses include $3,800 of monthly depreciation expense and $900 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. EastGate Physical Therapy Inc. Schedule of Cash Payments for Operations For the Three Months Ending March 30 January February March Payments of prior month's expense Payments of current month's expense Total payments
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