Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Professional Printing Supply of Baltimore, MD has applied for a loan. Its bank has requested a Budgeted Balance Sheet and a Budgeted Statement e Cash

image text in transcribedimage text in transcribedimage text in transcribedimage text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
Professional Printing Supply of Baltimore, MD has applied for a loan. Its bank has requested a Budgeted Balance Sheet and a Budgeted Statement e Cash Flows for the Second Quarter in 2023. However, to complete these budgets all necessary Budgets and Pro Forma Financials must also be completed. Management at Professional Printing Supply has asked your team to prepare the budget. Information for Completing the Budget Professional Printing Supply's Controller, assembled the following additional information for you tearn: 1. April budgeted Sales = 584 , 000 , 70 collected in April and the remainder collected in May, sales are expected increase by 5% each montr. Professional Printing Supply's Controller, assembled the following additional infermation for you team: 1. April budgeted Sales = $84 , 000 , 70% collected in April and the remainder collected in May, sales are expected increase by 5% each monthr 2. Cost of Goods Sold, 40% of sales: 3. Desired Ending Inventory is 15% of the next month's sales: 4. April Selling and Administrative Expenses - Salaries total $36 , 000 , 40% of which will be paid in cash and the remaining amount to be paid next month; 5. Additional April Selling and Administrative Expenses equals 15% of Sales, 20% paid in cash and the remainder to be paid next monthe 6. April Dividends of 54,000 were declared and Paid; 7. Any Beginning Accounts Payable on the Balance Sheet are paid in the current monthe 8. Management requires there to be a minimum cash balance of $70 , 000 a month. Additional information that is already entered into the Budget Template - April 1 Capital Expenditures for equipment costing $16 , 600 budseted: $5 , 000 down in April and the Remainder on a 60 Day, 6%6 Note. - April Depreciation Expense, $600 for equipment on the booksew equipenent uses straight-line depreciabion, $4000 residual value, with a usetul life of 5 years (de months). PROFESSIONAL PRINTING SUPPLY Budgeted Income Statement For the Quarter Ending June 30, 2023 PROFESSIONAL PRINTING SUPPLY Statement of Retained Earnings For the Quarter Ending June 30, 2023

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

Survey Of Accounting

Authors: Thomas Edmonds, Christopher Edmonds, Philip Olds

6th Edition

1260575292, 978-1260575293

More Books

Students also viewed these Accounting questions

Question

How does visua lization w ork? (p. 2 80)

Answered: 1 week ago