XYZ Co. Cash budget Example

Example of a Schedule of receipts from debtors/accounts receivable

	2023 Estimates
	Quarter Ending
	31-Mar	30-Jun	30-Sep	31-Dec
Sales Revenue	$600,000	$700,000	$800,000	$850,000
Purchases	385,000	410,000	390,000	420,000
Marketing and Administrative Expenses	150,000	150,000	150,000	150,000
Occupancy Expenses	68,000	68,000	68,000	68,000
Depreciation Expense	12,500	12,500	12,500	12,500

Additional information:

Sales in the December quarter 2022 were $500 000 ,

All sales are on credit, of which 70 percent are collected in the quarter of sale and 30 percent in the following quarter.

Purchases are on credit, and entity policy is such that all purchases are paid for in the same quarter.

The marketing and administration expenses incurred and paid the same (i.e. paid in the same quarter as they are incurred)

Occupancy expenses incurred and paid are the same, except that the December quarter does not include the last months electricity usage, equal to $510.

A major IT hardware acquisition of $25 400, to be paid for in cash, is expected in the December quarter

The bank balance at 31 December 2022 was $18 260.