Prepare a schedule that discloses the firms total cash disbursements for

Prepare a schedule that discloses the firms total

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Prepare a schedule that discloses the firm’s total cash disbursements for January through March. January February March Payment of accounts payable $82,000 Payment of January purchases 301,000 129,000 Payment of February purchases 322,000 138,000 Payment of March purchases 406,000 Cash operating costs 109,000 88,000 151,000 Total cash disbursements $492,000 $539,000 $695,000 2. Schedule of cash disbursements: Payment of January purchases ($430,000): 70% in January; 30% in February = $301,000; $129,000
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Payment of February purchases ($460,000): 70% in February; 30% in March = $322,000; $138,000 Payment of March purchases ($580,000): 70% in March; 30% in April = $406,000 Prepare a schedule that summarizes the firm’s financing cash flows for January through March. January February March Beginning cash balance $90,000 $90,000 $106,345 Total receipts 415,000 633,500 705,000 Subtotal $505,000 $723,500 $811,345 Less: Total disbursements 492,000 539,000 695,000 Cash excess (deficiency) before financing $13,000 $184,500 $116,345 Financing: Borrowing to maintain $90,000 balance 77,000 Loan principal repaid (77,000) Loan interest paid (1,155) Ending cash balance $90,000 $106,345 $116,345 3. Loan interest paid in February: $77,000 × 9% × 2/12 = $1,155
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