Question

a- Search Sheet Insert Page Layout Formulas Data Review View t Share A AutoSum » A-A Wrap Text Copy Fill Conditional Format Cell Formatting as Table Styles Insert Delete Format Sort & Format B I Clear A1 : x fc Given Data Case 08-29: CRAVAT SALES COMPANY 5Minimum ending cash balance $ 10,000 8 Recent and forecast sales (in units). 0 February (actual) 30 Sales collected 2nd month following 33 Sales commissions (per tie) 42 Land purchased in May 43 Dividends declared each quarter P08-24 Given PO8-24 C08-29 Given C08-29 + 117% 2 a- Search Sheet Insert Page Layout Formulas Data Review View t Share A AutoSumA A-A Wrap Text Copy &Fill , , A, 를 로1恒恒 3. Merge & Center, a, % , conditional as rable Styles Format Cell Insert Delete Format Sort & Format B I Clear Formatting as Table Styles A1 : x fc Given Data Case 08-29: 2 Variable monthly expenses: 33 Sales commissions (per tie) $ 1.00 35 Fixed monthly expenses: 36 Wages and salaries 7 Ublities 38 Insurance 39 Depreciation 40 Miscellaneous 41 42 Land purchased in May 43 Dividends declared each quarter S 22,000 $ 14,000 S 1,200 S 1,500 $ 3,000 S 25,000 $ 12,000 5 Balance sheet at March 31 47 Cash 48 Accounts receivable 49 February sales 50 March sales 51 Inventory (31,500 units) 52 Prepaid insurance 53 Fixed assets, net of depreciation 4 Total assets $ 14,000 $ 48,000 168,000 216,000 157,500 14,400 172,700 574,600 Liabilities and Stockholders' Equity 57 Accounts payable 58 Dividends payable 59 Capital stock 60 Retained eamings 1 Total liabilities and stockholders' equity S 85,750 12,000 300,000 76,850 574,600 63 Agreement with Bank: 64 Borrowing increments 65 Maximum borrowing amount 66 Interest rate per manth 67 Repayment increments 68 Total of interest paid each quarter 9 Required minimum cash balance S 1,000 s 40,000 S 1,000 $ 10,000 1% 100% P08-24 Given PO8-24 C08-29 Given Co8-29+ + 117% 2 0 a- Search Sheet Insert Page Layout Formulas Data Review View t Share A AutoSumA A-A 2 Wrap Text Copy Fill Conditional Format Cell Formatting as Table Styles Insert Delete Format Sort & Format Clear CRAVAT SALES COMPANY 0 Budgeted sales in unts 1 Seling price per unt nter the appropriate deta in the r final answers ch sectionw ll be vurifed 4 1b. Schedule of expected cash collections: 22 1c. Merchandise purchases budget: 24 Add budgeted ending inventory 1 1d. Budgesed cash disbursements for merchandise purchases: CRAVAT SALES COMPANY Cash Budget For the Three Months Ending June 30 5 Cash balance, beginning 46 Add receipts from custamers the appropriate duta in tne cels. Your anawers for ba ance, ending wil be PO8-24Given P08-24 CO8-29Given C08-29+ Ready + 100% a- Search Sheet Insert Page Layout Formulas Data Review View Share ^ Σ AutoSum , A A-A 2 Wrap Text Copy Fill Conditional Format Cell Formatting as Table Styles Insert Delete Format Sort & Clear Cash Budget For the Three Months Ending Junฮ 30 cels. Yourarswers fo ash balance, ending wibe 7 Excess (deficiency) of receipts CRAVAT SALES COMPANY Budgeted Income Statement For the Three Months Ended June 30 cels. Your answer for Ne P08-24 Given P08-24 CO8-29Given C08-29+ + 100% a- Search Sheet Insert Page Layout Formulas Data Review View t Share A Σ AutoSum , A A-A Wrap Text Copy Fill Conditional Format Cell Formatting as Table Styles Insert Delete Format Sort & Clear Budgeted Income Statement For the Three Months Ended June 30 ter the appropite deta inte 2 Salos in unts 13 Sales 4 Vanable expenses: T5 Cost of goods sold 6 Commissions 17 Cont-buton margin be venfiNet mi 9 Salaries and wages Inaurance expired 4 Net operating income 85 Less interest expense 86 Not income 9 4 Budgebed Balance Sheet 5 Cash 96 AGounts recoivable 7Invontory 98 Unexpised insurance cels. Your enswer for culution below. sets" wil be verfied Fiued assets, net of depreciation 100 Total aasets Liabilities and Stockholders Equity 103 Accounts payablo, purchasos 104 Dividends payabe S Loans payable, bank 106 Capital stock, no per culation belaw. 108 Total lublties and equity 109 10 Accounts rooovablo at June 30: 111May sales 1 June sales 13 Total PO8-24Given P08-24 CO8-29Given C08-29+ + 100% 2 a- Search Sheet Insert Page Layout Formulas Data Review View Share ^ Σ AutoSum , A A-A Wrap Text Copy Fill ls. Al E로로 恒恒 3. Merge & Center, 운,96 ,1 28 Conditional Format Cell Formatting as Table Styles Insert Delete Format Format B I Sort & Filter Clear 73 Sale 5 Cost of goods sold 6 Commissions 17 Contribution megin T8 Fxod exponsos 9 Salariles and wages Insurance expired 84 Net operating income 85 Less interest expense 86 Not income Budgeted Balance Sheet oer the appropriate data 95 Cash 96 Accounta recevable cels. Your arawer for cu culatorn 98 Unexpired insurance Fixed assets, net of depreciation 00 Total assets Lisbiities and Stockhalders Equity 103 Accounts payable, purchases 104 Dvidends payable 0S Loans payable, bank 106 Captal slock, no par 0T Retained eamings 108 Total labiltios and equity 109 110 Accounts rocuivable at June 30 111May sales 12 June sales 13 Total caiculaton below. 15 Retained eamings at June 30: 16 Balanco, March 31 11& Total 9 Less dividends decared 120 Balance, June 30 PO8-24Given P08-24 CO8-29Given C08-29+ + 100% 2

Answer 1

	Sales Budget
			April	May	June	Quarter
Budgeted sales in units			35000	45000	60000	140000
Selling price per units			$               8.00	$               8.00	$               8.00	$                   8.00
Total sales			$ 280,000.00	$ 360,000.00	$ 480,000.00	$ 1,120,000.00
	Schedule of expected cash collection
			April	May	June	Quarter
February sales		192000	$    48,000.00			$        48,000.00
March sales		224000	$ 112,000.00	$    56,000.00		$      168,000.00
April sales		280000	$    70,000.00	$ 140,000.00	$    70,000.00	$      280,000.00
May sales		360000		$    90,000.00	$ 180,000.00	$      270,000.00
June sales		480000			$ 120,000.00	$      120,000.00
Total cash collections			$ 230,000.00	$ 286,000.00	$ 370,000.00	$      886,000.00

				Merchandise purchase budget
				April	May	June	July	Quarter
	Budgeted sales in units			35000	45000	60000	40000	140000
Add:	Budgeted ending inventory			40500	54000	36000		130500
	Total needs			75500	99000	96000		270500
Less:	Beginning inventory			31500	40500	54000		126000
	Required unit purchase			44000	58500	42000		144500
	Unit cost			$               5.00	$               5.00	$               5.00		$               5.00
	Required dollar purchases			$ 220,000.00	$ 292,500.00	$ 210,000.00		$ 722,500.00

	Budgeted cash disbursements for merchandise purchase
			April	May	June	Quarter
March purchase			$    85,750.00			$    85,750.00
April purchase			$ 110,000.00	$ 110,000.00		$ 220,000.00
May purchase				$ 146,250.00	$ 146,250.00	$ 292,500.00
June purchase					$ 105,000.00	$ 105,000.00
Total cash payment			$ 195,750.00	$ 256,250.00	$ 251,250.00	$ 703,250.00