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The following information was extracted from the books of Bodaboda Ltd. a company which started trading one year ago. Month Sales Purchases 2023 Sh. Sh.

The following information was extracted from the books of Bodaboda Ltd. a company which started trading one year ago.

Month

Sales

Purchases

2023

Sh.

Sh.

April

May

June

July

August

September

October

November

December

150,000

160,000

160,000

170,000

200,000

200,000

180,000

180,000

200,000

100,000

110,000

90,000

90,000

80,000

130,000

140,000

60,000

60,000

The following additional information is available;

Cash in hand at the end of May 2023 will be Sh.180,000

60%of the sales proceeds are received in the current month, 30% in the following month and the balance is received two months after sale.

Suppliers are paid one month after delivery of goods. Corporation tax for 2022amounting to Sh.20,000 will be paid on 30th September 2023

Contractors retention moneys amounting to Sh.50,000 will paid on 30th June 2023

The shareholders at their last Extra Ordinary General Meeting increased the share capital by Sh.70,000 and the first call of Sh.40,000 will be received in October 2023

In October 2023, the company is due to receive Sh.20,000 as compensation for a civil suit

The monthly administration expenses amounting to Sh.33,000 include factory depreciation charge of Sh.4,000 and preliminary expenses of Sh.3,000

Office equipment worth Sh.13,000 will be paid for in November 2023

Required: Prepare cash budget for the period 1st June to 31st December 2023

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