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Vaughn Design provided the following budgeted information for April through July: April May June July Projected sales $103800 $122800 $114900 $132100 Projected merchandise purchases $81500
Vaughn Design provided the following budgeted information for April through July:
April | May | June | July | |
Projected sales | $103800 | $122800 | $114900 | $132100 |
Projected merchandise purchases | $81500 | $92000 | $78200 | $65900 |
- The cash balance on June 1 is $12000. The company pays 30% of merchandise purchases in the month purchased and 70% in the following month.
- General operating expenses are budgeted to be $30600 per month of which depreciation is $3000 of this amount. Management pays operating expenses in the month incurred.
- The company makes loan payments of $4000 per month of which $610 is interest and the remainder is principal.
How much are budgeted cash disbursements for June?
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