# Chapter 8 Problem 8-17 Homework - MBA515 Unit 5 Homework...

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MBA515Unit 5 Homework – Problem 8-17 1.Cash Budget for May - Accounts Receivable Calculation:\$200,000 sales budget - \$60,000 cash sales = \$140,000\$140,000 x 50% (1/2 credit sales collected in May) = \$70,000 Accounts Receivable collected in MaySchedule Cash ReceiptMay Cash Sales\$60,000 Collections on Accounts Receivable:April 30 Balance\$54,000 May Cash Collected from Credit Sales\$70,000 \$124,000 Total Cash Receipts\$184,000 Schedule Cash PaymentAccounts Payable April 30\$63,000 May Purchase (120,000 x 40%)\$48,000 Total Cash Payment\$111,000 Minden CompanyCash BudgetFor the Month of MayBeginning Cash Balance\$9,000 Add: Cash ReceiptsCollections From Customers (Total Cash Receipt)\$184,000 Total Cash Available\$193,000 Less: Cash DisbursementsPurchase of Inventory (Total Cash Payment)(\$111,000)Selling and Administrative(\$72,000)Equipment Purchase(\$6,500)Total Cash Disbursements(\$189,500)Excess of Cash Available Over Disbursements\$3,500 Financing:Borrowings\$20,000 Repayments(\$14,500)
Interest(\$100)Total Financing\$5,400 Ending Cash Balance\$8,900 2.Budgeted Income Statement for May – Calculation for COGS:Cost of Goods Sold = Beginning Inventory + Purchases – Ending InventoryCOGS = 30,000 + 120,000 – 40,000