Reference no: EM133043398
Question - Unique Ltd. developed the following data for the month of October.
Cash balance, October 1st $92,250
Cash sales in October 450,000
Credit sales for the month of: August 300,000 September 225,000 October 375,000
Purchases for the month of: September 337,500 October 300,000
Other expenses in October: Salaries 243,750 Utilities 24,750 Depreciation 75,000
70% of credit sales are collected in the month of sale, 15% in the following month, and 10% in the second month following the sale.
25% of purchases are paid in the month of purchase and the remaining 75% in the following month.
100% of other expenses are paid in the month recorded.
Required - Prepare a cash collections and cash payment schedule as well as a cash budget for the month.
Total cash sales and collections on account for the month are $____________.
Total cash available for the month is $_______________.
Payments for purchases during the month are $______________.
Payments for other expenses during the month are $___________ .
The ending cash balance for the month is $__________________.