THE RED ANSWERS ARE WRONG AND THE GREEN ANSWERS ARE CORRECT!

Current Attempt in Progress Your answer is partially correct. Chris Anderson, Sheffield & Daniel Fabricators' budget director, has received budget information from several managers and is preparing the company's cash budget. January February March Quarter Collections from sales 477,200 560,860 637,720 1,675,780 Payments for direct materials 80,505 253,125 280,730 614,360 Payments for direct labor 98,640 103,680 116,640 318,960 Payments for manufacturing overheads 78,490 78,980 80,240 237,710 Payments for Selling & administrative expenses 111,400 116,440 123,160 351,000 In addition to the information he received from these managers, Chris knows the following: . Sheffield & Daniel plans to have $32,400 in its cash account on January 1. O Sheffield & Daniel plans to purchase and pay cash for a piece of land in January at a cost of $90,000. O Sheffield & Daniel plans to make a cash purchase of equipment in March at a cost of $30,000. . Sheffield & Daniel's income taxes from last quarter totaling $26,400 will be paid in January. Sheffield & Daniel is required to maintain a minimum cash balance of $50,000 in its account at First National Bank. Sheffield & Daniel has negotiated with the First National Bank to provide a $175,000 line of credit that can be borrowed against in $1,000 increments on the first day of the month. Any repayments on the line of credit must also be made in $1,000 increments and are made on the last day of the month when cash is available. The annual interest rate on this line of credit is 6%. Any time a principal payment is made, all accrued interest to date is repaid. Prepare Sheffield & Hill's cash budget for the first quarter. (Round answers to O decimal places, e.g. 5,275. Enter answers in necessary fields only. Leave other fields blank. Do not enter 0. Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) January February Beginning cash balance a $ 32,400 $ 50 Collections from sales 477,200 560 Total cash available to spend - 509,600 611 Less : Disbursements Manufacturing overhead 78,490 i 78,981 Payments for direct materials 80,505 i 253,12 Direct labor 98,640 i 103,681 Your answer is partially correct. Chris Anderson, Sheffield & Daniel Fabricators' budget director, has received budget information from several managers and is preparing the company's cash budget. January February March Quarter Collections from sales 477,200 560.860 637,720 1,675,780 Payments for direct materials 80,505 253,125 280,730 614,360 Payments for direct labor 98,640 103,680 116,640 318,960 Payments for manufacturing overheads 78,490 78,980 80,240 237,710 Payments for Selling & administrative expenses 111,400 116,440 123,160 351,000 In addition to the information he received from these managers, Chris knows the following: . Sheffield & Daniel plans to have $32,400 in its cash account on January 1. Sheffield & Daniel plans to purchase and pay cash for a piece of land in January at a cost of $90,000. O Sheffield & Daniel plans to make a cash purchase of equipment in March at a cost of $30,000. . Sheffield & Daniel's income taxes from last quarter totaling $26,400 will be paid in January. . Sheffield & Daniel is required to maintain a minimum cash balance of $50,000 in its account at First National Bank. Sheffield & Daniel has negotiated with the First National Bank to provide a $175,000 line of credit that can be borrowed against in $1,000 increments on the first day of the month. Any repayments on the line of credit must also be made in $1,000 increments and are made on the last day of the month when cash is available. The annual interest rate on this line of credit is 6%. Any time a principal payment is made, all accrued interest to date is repaid. Prepare Sheffield & Hill's cash budget for the first quarter. (Round answers to 0 decimal places, e.g. 5,275. Enter answers in necessary fields only. Leave other fields blank. Do not enter 0. Enter negative amounts using either a negative sign preceding the number e.g.-45 or parentheses e.g. (45).) February March Quarter $ 50,165 $ 50,670 $ 32,400 560,860 637,720 16,757,80 611,025 688,390 17,081,80 78,980 i 80,240 i 237,710 i 253,125 i 280,730 614,360 i 103,680 i 116,640 i 318,960 i Sheffield & Daniel has negotiated with the First National Bank to provide a $175,000 line of credit that can be borrowed against in $1,000 increments on the first day of the month. Any repayments on the line of credit must also be made in $1,000 increments and are made on the last day of the month when cash is available. The annual interest rate on this line of credit is 6%. Any time a principal payment is made, all accrued interest to date is repaid. Prepare Sheffield & Hill's cash budget for the first quarter. (Round answers to o decimal places, e.g. 5,275. Enter answers in necessary fields only. Leave other fields blank. Do not enter 0. Enter negative amounts using either a negative sign preceding the number e.g.-45 or parentheses e.g. (45).) January February Beginning cash balance $ 32,400 $ 50 Collections from sales 477,200 560 Total cash available to spend 509,600 611 Less 4 : Disbursements Manufacturing overhead 78,490 i 78,981 Payments for direct materials 80,505 i 253,12 Direct labor 98,640 i 103,681 Selling & administrative expenses 111,400 i 116,441 Land and Equipment purchases 90,000 i Income taxes 26,400 i Total cash disbursements 485,435 552 Cash excess (deficiency) 24,165 58 Minimum cash balance 50,000 i 50,000 Cash excess (needed) -25,835 8 Financing 41: Borrowings 26,000 Repayments -8,000 Interest Total financing 26,000 -8 Ending cash balance $ 50,165 $ 50 Sheffield & Daniel has negotiated with the First National Bank to provide a $175,000 line of credit that can be borrowed against in $1,000 increments on the first day of the month. Any repayments on the line of credit must also be made in $1,000 increments and are made on the last day of the month when cash is available. The annual interest rate on this line of credit is 6%. Any time a principal payment is made, all accrued interest to date is repaid. Prepare Sheffield & Hill's cash budget for the first quarter. (Round answers to 0 decimal places, e.g. 5,275. Enter answers in necessary fields only. Leave other fields blank. Do not enter 0. Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) February March Quarter $ 50,165 $ 50,670 $ 32,400 560,860 637,720 16,757,80 611,025 688,390 17,081,80 78,980 i 80,240 i 237,710 i 253,125 i 280,730 i 614,360 i 103,680 i 116,640 i 318,960 i 116,440 i 123,160 i 351,000 i 30,000 120,000 i 26,400 i 552,225 630,770 16,684,30 58,800 57,620 39,750 50,000 50,000 i 50,000 i 8,800 7,620 10,250 26,000 -8,000 -7,000 i -15,000 i - 130 -90 i -220 TONE TON -8,130 -7,090 i 10,780 50,670 $ 50,530 $ 50,530 e Textbook and Media