Required Information Problem 22-2A (Algo) Manufacturing: Cash budget ond schedule of cash payments LO P2 [The following Information applies to the questions displayed below) Built-Tight is preparing its master budget. Budgeted sales and cash payments follow July 361,000 August $. 77,000 September $ 51,000 Budgeted sales Budgeted cash payments for Direct materials Direct Labor Overhead 16,760 4,64e 20,800 14,640 3,960 17,400 14,360 4,04e 17. see Sales to customers are 30% cash and 70% on credit. Sales In June were $60.500. All credit sales are collected in the month following the sale. The June 30 balance sheet Includes balances of $27.000 in cash and $5.600 In loans payable. A minimum cash balance of $27.000 is required. Loans are obtained at the end of any month when the preliminary cash balance is below $27.000. Interest is 1% per month based on the beginning-of-the-month loan balance and is paid at each month-end. Any preliminary cash balance above $27,000 is used to repay loans at month-end. Expenses are paid in the month incurred and consist of sales commissions (10% of sales), office salaries ($4.600 per month and rent ($7100 per month. Problem 22-2A (Algo) Part 1 1. Prepare a schedule of cash receipts for the months of July, August, and September BUILT-TIGHT Schedule of Cash Receipts from Sales July August September S 01.000s 77.000 51.000 Cashtreets from Tots cash receipts Required Information Problem 22-2A (Algo) Manufacturing: Cash budget and schedule of cash payments LO P2 [The following information applies to the questions displayed below) Built-Tight is preparing its master budget. Budgeted sales and cash payments follow July $ 61,000 September $ 51,000 Budgeted sales Budgeted cash payments for Direct materials Direct labor Overhead 16,760 4,640 20,800 August $ 77,000 14,640 3,960 17,400 14,360 4,040 17.800 Sales to customers are 30% cash and 70% on credit. Sales in June were $60,500. All credit sales are collected in the month following the sale. The June 30 balance sheet Includes balances of $27.000 in cash and $5.600 in loans payable. A minimum cash balance of $27.000 is required. Loans are obtained at the end of any month when the preliminary cash balance is below $27.000. Interest is 1% per month based on the beginning-of-the-month loan balance and is paid at each month-end. Any preliminary cash balance above $27,000 is used to repay loans at month-end Expenses are paid in the month incurred and consist of sales commissions (10% of sales). Strice salaries ($4.600 per month, and rent ($7100 per month Problem 22-2A (Algo) Part 2 2. Prepare a cash budget for the months of July, August and September (Negative balances and Loan repayment amounts of any) should be indicated with minus sign. Enter your final answers in whole dollars) BUILT TIGHT Cash Budget July August September Beginning cash balance Tot cash available Less Cash payments for
