Below is the abbreviated cash budget for DEF Pty Ltd. Beginning Cash Balance Estimated Cash Receipts...

Below is the abbreviated cash budget for DEF Pty Ltd.

Beginning Cash Balance
Estimated Cash Receipts		34,000
Cash Available		39,000
Estimated Cash Payments
Purchases
Operating Expenses	13,000
Payment of Dividend	10,000
Total Estimated Cash Payments
Ending Cash Balance		-4,000

(a) Calculate the amount of Beginning Cash Balance, Purchases, and Total Estimated Cash Payments.

(b) What action if any should DEF Pty Ltd take as a result of preparing this budget? Briefly justify your answer.

Solutions

Expert Solution

Comment below if you have any query i will solve it asap !! thanks

ekkarill92 answered 1 year ago

Next > < Previous

Related Solutions

Below is the abbreviated cash budget for DEF Pty Ltd. Beginning Cash Balance Estimated Cash Receipts...

Below is the abbreviated cash budget for DEF Pty Ltd. Beginning Cash Balance Estimated Cash Receipts 34,000 Cash Available 39,000 Estimated Cash Payments Purchases Operating Expenses 13,000 Payment of Dividend 10,000 Total Estimated Cash Payments Ending Cash Balance -4,000 (a) Calculate the amount of Beginning Cash Balance, Purchases, and Total Estimated Cash Payments. (b) What action if any should DEF Pty Ltd take as a result of preparing this budget? Briefly justify your answer.

Below is the abbreviated cash budget for ABC Pty Ltd. Beginning Cash Balance 50,000 Estimated Cash...

Below is the abbreviated cash budget for ABC Pty Ltd. Beginning Cash Balance 50,000 Estimated Cash Receipts Cash Available 390,000 Estimated Cash Payments Purchases 210,000 Operating Expenses Office Equipment Purchases 50,000 Total Estimated Cash Payments Ending Cash Balance 40,000 (a) Calculate the amount of Estimated Cash Receipts, Operating Expenses, and Total Estimated Cash Payments. (b) What action if any should ABC Pty Ltd take as a result of preparing this budget? Briefly justify your answer.

Based on the data presented in the Spreadsheet below (Cash Budget tab), calculate the cash receipts...

Based on the data presented in the Spreadsheet below (Cash Budget tab), calculate the cash receipts for the first quarter of this year. Complete your calculations by filling in the highlighted cells. Discuss your observations about the way cash is collected if the company needs $150,000 per month for expenses. Cookie Business The budgeted credit sales are as follows: December last year $ 250,000 January $ 125,000 February $ 300,000 March $ 90,000 Collection: Month of the sale 80% Month...

Following information relates to Acco Co. Beginning cash balance on July 1: $45,000. Cash receipts from...

Following information relates to Acco Co. Beginning cash balance on July 1: $45,000. Cash receipts from sales: 21% is collected in the month of sale, 50% in the next month, and 29% in the second month after sale (uncollectible accounts are negligible and can be ignored). Sales amounts are: May (actual), $1,548,000; June (actual), $1,080,000; and July (budgeted), $1,260,000. Payments on merchandise purchases: 42% in the month of purchase and 58% in the month following purchase. Purchases amounts are: June...

Following information relates to Acco Co. Beginning cash balance on July 1: $35,000. Cash receipts from...

Following information relates to Acco Co. Beginning cash balance on July 1: $35,000. Cash receipts from sales: 30% is collected in the month of sale, 50% in the next month, and 20% in the second month after sale (uncollectible accounts are negligible and can be ignored). Sales amounts are: May (actual), $1,204,000; June (actual), $840,000; and July (budgeted), $980,000. Payments on merchandise purchases: 60% in the month of purchase and 40% in the month following purchase. Purchases amounts are: June...

Following information relates to Acco Co. Beginning cash balance on July 1: $45,000. Cash receipts from...

Following information relates to Acco Co. Beginning cash balance on July 1: $45,000. Cash receipts from sales: 24% is collected in the month of sale, 50% in the next month, and 26% in the second month after sale (uncollectible accounts are negligible and can be ignored). Sales amounts are: May (actual), $1,548,000; June (actual), $1,080,000; and July (budgeted), $1,260,000. Payments on merchandise purchases: 48% in the month of purchase and 52% in the month following purchase. Purchases amounts are: June...

Following information relates to Acco Co. Beginning cash balance on July 1: $35,000. Cash receipts from...

Following information relates to Acco Co. Beginning cash balance on July 1: $35,000. Cash receipts from sales: 27% is collected in the month of sale, 50% in the next month, and 23% in the second month after sale (uncollectible accounts are negligible and can be ignored). Sales amounts are: May (actual), $1,204,000; June (actual), $840,000; and July (budgeted), $980,000. Payments on merchandise purchases: 54% in the month of purchase and 46% in the month following purchase. Purchases amounts are: June...

Arakaki Inc. is working on its cash budget for January. The budgeted beginning cash balance is...

Arakaki Inc. is working on its cash budget for January. The budgeted beginning cash balance is $41,000. Budgeted cash receipts total $114,000 and budgeted cash disbursements total $113,000. The desired ending cash balance is $60,000. How much will be the excess (deficiency) of cash available over disbursements for January? A. $1,000 B. $155,000 C. $42,000 D. $40,000

A company is preparing their 4th quarter cash summary budget. Based on their beginning cash balance...

A company is preparing their 4th quarter cash summary budget. Based on their beginning cash balance and anticipated cash receipts and cash disbursements (payments), here are the ending cash balances initially planned each month. The balances shown below are BEFORE any borrowing of money or repayment of loans and interest. Management wants to keep a minimum cash balance of $20,922. Therefore, they will clearly need to borrow money in November. Luckily, December looks like a good month and they will have...

Lesedi Company (Pty) Ltd.’s balance sheets for the last two years are provided below Balance Sheet...

Lesedi Company (Pty) Ltd.’s balance sheets for the last two years are provided below Balance Sheet 2019 2018 Cash R 82 000 R 40 000 Accounts Receivable 180 000 150 000 Inventory 170 000 200 000 Equipment 200 000 140 000 Accum. Depreciation (72 000) (60 000) Total Assets R560 000 R470 000 Accounts Payable R100 000 R 80 000 Long-term Payables 100 000 50 000 Ordinary Shares 250 000 250 000 Retained Earnings 110 000 90 000 Total...

Subjects