Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

You have the following information of the operations of Aston Company: a) the balance of cash on October 01 is $40,000 b) scheduled for October

image text in transcribed

You have the following information of the operations of Aston Company: a) the balance of cash on October 01 is $40,000 b) scheduled for October and November and December sales are as follows: October November December Sales $ 455,000 $ 516,000 S 581,000 c) in October the company received a loan from the Bank of S190,000 d) Sales are collected 60% cash in month of sale and the rest the following month. d) Purchases will be 60% of the total sales for the next month and will be paid in cash. e)Wages and salaries are $200,000 for each month. f) Administrative expenses of $195,000, which include $4,000 in depreciation each month. g) a new computer equipment will be purchased in the month of October at a cost of $60,000 h) the company wishes to maintain a minimum ending balance in your checks of $40,000 1) the account receivable of September of the same year was $310,000 will be charged in October Calculate the cash outflows for the month of October ? $764,600 $760,600 5813,000 $52,400

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_2

Step: 3

blur-text-image_3

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

More Books

Students also viewed these Accounting questions