Month April May June July Collections from customers are normally 66 percent in the month of sale, 18 percent in the month following the sale, and 14 percent in the second month following the sale. The balance is expected to be uncollectible. All purchases are on account. Management takes full advantage of the 1 percent discount allowed on purchases paid for by the tenth of the following month. Purchases for August are budgeted at $63,000, and sales for August are forecasted at $69,000. Cash disbursements for expenses are expected to be $14,200 for the month of August. The company's cash balance on August 1 was $30,000. Required: 1. Prepare the expected cash collections during August. 2. Prepare the expected cash disbursements during August. 3. Calculate the expected cash balance on August 31. Required 1 Sales $82,000 75,000 64,000 72,000 Complete this question by entering your answers in the tabs below. Month July June August Total Required 2 Required 3 Prepare the expected cash collections during August. TEJAS WINDOW TINT Expected Cash Collections August Sales Purchases $ 42,000 57,000 45,000 63,000 Percent % % % Expected Collections $ 0

Month April May June July Collections from customers are normally 66 percent in the month of sale, 18 percent in the month following the sale, and 14 percent in the second month following the sale. The balance is expected to be uncollectible. All purchases are on account. Management takes full advantage of the 1 percent discount allowed on purchases paid for by the tenth of the following month. Purchases for August are budgeted at $63,000, and sales for August are forecasted at $69,000. Cash disbursements for expenses are expected to be $14,200 for the month of August. The company's cash balance on August 1 was $30,000. Required: 1. Prepare the expected cash collections during August. 2. Prepare the expected cash disbursements during August. 3. Calculate the expected cash balance on August 31. Required 1 Sales $82,000 75,000 64,000 72,000 Complete this question by entering your answers in the tabs below. Month July June August Total Required 2 Required 3 Prepare the expected cash collections during August. TEJAS WINDOW TINT Expected Cash Collections August Sales Purchases $ 42,000 57,000 45,000 63,000 Percent % % % Expected Collections $ 0

Excel Applications for Accounting Principles

4th Edition

ISBN:9781111581565

Author:Gaylord N. Smith

Publisher:Gaylord N. Smith

Chapter22: Master Budget (master)

Section: Chapter Questions

Problem 1R: Ranger Industries has provided the following information at June 30: Other information: Average...

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