Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The following information is from Tejas WindowTint's financial records. Month April May June July Sales $78,000 67,000 74,000 80,000 Purchases $55,000 50,000 38,000 56,000 ok

image text in transcribed
image text in transcribed
image text in transcribed
The following information is from Tejas WindowTint's financial records. Month April May June July Sales $78,000 67,000 74,000 80,000 Purchases $55,000 50,000 38,000 56,000 ok at Collections from customers are normally 67 percent in the month of sale, 15 percent in the month following the sale, and 16 percent in the second month following the sale. The balance is expected to be uncollectible. All purchases are on account Management takes full advantage of the 1 percent discount allowed on purchases paid for by the tenth of the following month. Purchases for August are budgeted at $66,000, and sales for August are forecasted at $72,000. Cash disbursements for expenses are expected to be $15,600 for the month of August. The company's cash balance on August 1 was $23,000. Required: 1. Prepare the expected cash collections during August. 2. Prepare the expected cash disbursements during August 3. Calculate the expected cash balance on August 31. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare the expected cash disbursements during August. TEJAS WINDOW TINT 25 Saved Help 1. Prepare the expected cash collections during August. 2. Prepare the expected cash disbursements during August. 3. Calculate the expected cash balance on August 31. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare the expected cash disbursements during August TEJAS WINDOW TINT Expected Cash Disbursements August July purchases to be paid in August Net Cash disbursements for expenses Total $ 0 Collections from customers are normally 67 percent in the month of sale, 15 percent in the month following the sale, and 16 percent in the second month following the sale. The balance is expected to be uncollectible. All purchases are on account Management takes full advantage of the 1 percent discount allowed on purchases paid for by the tenth of the following month. Purchases for August are budgeted at $66,000, and sales for August are forecasted at $72,000. Cash disbursements for expenses are expected to be $15,600 for the month of August. The company's cash balance on August 1 was $23,000. Required: 1. Prepare the expected cash collections during August 2. Prepare the expected cash disbursements during August. 3. Calculate the expected cash balance on August 31, Complete this question by entering your answers in the tabs Selow. Required 1 Required 2 Required 3 Calculate the expected cash balance on August 31. TEJAS WINDOW TINT Expected Cash Balance August 31 Balance, August 1 $ 23,000 Add: Expected collections Less: Expected disbursements Expected balance

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Gleim CIA Review Part 2 Practice Of Internal Auditing

Authors: Irvin N. Gleim

2020 Edition

1618542648, 978-1618542649

More Books

Students also viewed these Accounting questions

Question

Differentiate 3sin(9x+2x)

Answered: 1 week ago

Question

Compute the derivative f(x)=(x-a)(x-b)

Answered: 1 week ago

Question

Describe the seven standard parts of a letter.

Answered: 1 week ago

Question

Explain how to develop effective Internet-based messages.

Answered: 1 week ago

Question

Identify the advantages and disadvantages of written messages.

Answered: 1 week ago