Question

Thanks in advance, Please provide work if possible.

Bridgeport Housewares Inc. Cash Budget For the Three Months Ending November 30 September October Estimated cash receipts from: Cash sales 11,400 $ 14,300 Collection of accounts receivable 97,300 101,820 November $ 18,000 120,870 Total cash receipts $ 108,700 $ 116,120 ✓ $ 138,870 v Less estimated cash payments for: Manufacturing costs x $ $ 58,200 -34,200 40,000 52,400 43,000 Selling and administrative expenses 68,000 Capital expenditures 43,000 Other purposes: Income tax 17,000 Dividends 6,000 $ 112,400 $ 175,200 Total cash payments Cash increase or (decrease) $ 3,720 $ -36,330 - X 43,000 Plus cash balance at beginning of month Cash balance at end of month Less minimum cash balance Excess or (deficiency)

Answer 1

Solution

Bridgeport Houseware Inc
Cash Budget
For the Three Months Ended nov 30th
	September	October	November
Estimated Cash Receipts
Cash Sales	$       11,400.00	$       14,300.00	$         18,000.00
Collection of Accounts Receivable	$       97,300.00	$     101,820.00	$       120,870.00
Total Cash Receipts	$    108,700.00	$     116,120.00	$       138,870.00
Less: Extimated Cash Payments
Manufacturing Cost	$       39,600.00	$       52,400.00	$         58,200.00
Selling and Administrative Expenses	$       40,000.00	$       43,000.00	$         68,000.00
Capital expenditure	$                      -		$         43,000.00
Other Purposes
Income Tax		$       17,000.00
Dividends			$           6,000.00
Total Cash Payments	$       79,600.00	$     112,400.00	$       175,200.00
Cash Increase or (decrease)	$       29,100.00	$         3,720.00	$       (36,330.00)
Plus :Cash Balance at beginning of month	$       43,000.00	$       72,100.00	$         75,820.00
Cash balance at the End of the Month	$       72,100.00	$       75,820.00	$         39,490.00
Less: Minimum Cash Balance	$       42,000.00	$       42,000.00	$         42,000.00
Excess or (deficiency)	$       30,100.00	$       33,820.00	$         (2,510.00)

Working

Collection of Accounts Receivable
	September	October	November
Credit sales	$   102,600.00	$     128,700.00	$     162,000.00
Collection of July sales	$      27,300.00
Collection of August sales	$      70,000.00	$       30,000.00
Collection of september sales		$       71,820.00	$       30,780.00
Collection of October sales			$       90,090.00
Total Collection from Receivables	$      97,300.00	$     101,820.00	$     120,870.00

.

Manufacturing Cost cash payments
	September	October	November
Total Manufacturing cost as given	$      48,000.00	$       61,000.00	$       65,000.00
Less: Non cash Expenses	$        6,000.00	$          6,000.00	$         6,000.00
	$      42,000.00	$       55,000.00	$       59,000.00
Paid in Current Month	$      33,600.00	$       44,000.00	$       47,200.00
Paid for Previous Month	$        6,000.00	$          8,400.00	$       11,000.00
Total Manufacturing Cost paid in cash	$      39,600.00	$       52,400.00	$       58,200.00