ANSWERS-04OC101508-1 - 15,200 7,000 4,680 Collection from...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
August September October Sales Budget: Number of units 1,900 875 650 Multiplied by unit price 20 20 18 Sales budget 38,000 17,500 11,700 Purchases Budget: Ending inventory (20% of next month's sale) 175 130 140 Sales in units 1,900 875 650 Total requirement in units 2,075 1,005 790 Less beginning inventory (20% of this month's sale) (380) (175) (130) Number of units to be purchased (2) 1,695 830 660 Purchase price 13 13 13 Purchases budget 22,035 10,790 8,580 (3) Cash Budget: Cash balance, beginning of month 40,000 20,365 7,688 Cash receipts: Collection from current month's sale (40%)
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Background image of page 2
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: 15,200 7,000 4,680 Collection from previous month's sale (35%) 8,750 13,300 6,125 Collection from 2nd previous month's sale (20%) 3,200 5,000 7,600 Total cash collections 27,150 25,300 18,405 Total cash available 67,150 45,665 26,093 Less disbursements: Purchases 22,035 10,790 8,580 Advertising at $1.50/unit sold 2,850 1,313 975 Sales commission at $1/unit sold 1,900 875 650 Office rent 5,000 5,000 5,000 Salaries 15,000 20,000 20,000 Total disbursements 46,785 37,978 35,205 Projected cash balance, end (4) 20,365 7,688 (9,113) (6) (1) (5)...
View Full Document

This note was uploaded on 08/31/2009 for the course ACC 310F taught by Professor Verduzco during the Fall '07 term at University of Texas at Austin.

Page1 / 2

ANSWERS-04OC101508-1 - 15,200 7,000 4,680 Collection from...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online