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Question - The following is the budgeted information of Louw Traders: BUDGET 2020 Total Sales R March 900 000 April 1 050 000 May 1 140 000 June 1 200 000 Collections: 40% of sales are cash sales while 35% is collected one month after the sale and the remaining 25% is collected two months after the sale has taken place. Expenses: The expenses are expected to be maintained at 55% of the same month's sales. Payments: 75% of expenses are paid in cash and 25% are paid one (1) month after incurring the expense. Opening cash balance: The business opening May cash balance is R30 000 Minimum cash balance requirement: The business requires a minimum cash balance of R15 000.
Required - Prepare the cash budget of Louw Traders for the months of May and June 2020.
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As part of the proposed inventory management and control system, currently being designed for Riordan Manufacturing, this document represents the basic structure of the Customer Shipping and Billing application, user interface (UI), which will be ..
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