Question

In: Accounting

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.

Solutions

Expert Solution

For any queries or doubts related to format or any values please post in comment section, I would take that up.

ekkarill92 answered 3 years 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 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.
ABC Pty Ltd sells upmarket washing machines. It had $200,000 stock on hand at the beginning...
ABC Pty Ltd sells upmarket washing machines. It had $200,000 stock on hand at the beginning of the 2017/2018 financial year. It purchased $50,000 of additional trading stock during the income year. The closing stock on hand was $130,000. At the beginning of the 2018/2019 financial year ABC Pty Ltd had $130,000 stock on hand. It did not purchase any stock during the year as it was having financial difficulties. In fact, in September 2018 ABC gave two washing machines...
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...
The following data are revealed by King Kong Pty Ltd at 30 June 2019. Cash balance...
The following data are revealed by King Kong Pty Ltd at 30 June 2019. Cash balance at 1 July 2018 $50 000 Gain on sale of equipment 6 000 Income tax payments 21 000 Cash paid to suppliers 153 500 Cash received from customers 425 500 Proceeds from issue of shares 216 000 Proceeds from sale of land 76 000 Depreciation expense 55 000 Interest payments 30 000 Payments of long-term debt 16 500 Payments to employees 78 000 Dividends...
Cash Budget Preparation PT ABC has sales 50,000 unit in March and 60,000 unit in April....
Cash Budget Preparation PT ABC has sales 50,000 unit in March and 60,000 unit in April. Sales prediction for May, June and July are 70,000,80,000 and 100,000 unit. Cash balance on May 1, is USD 5,000 and minimum cash policy is USD 5,000. Based on the data for May, June, July are as follow: a. Cash sales 20% on the month sales, 60% received next month and 20% the following (2months later) b. Other revenues USD 21,000 every month c....
Lesedi Company (Pty) Ltd.’s balance sheets for the last two years are provided below
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 Liabilities...
Walsh Corporation is preparing its cash budget for January. The budgeted beginning cash balance is $18,000....
Walsh Corporation is preparing its cash budget for January. The budgeted beginning cash balance is $18,000. Budgeted cash receipts total $183,000 and budgeted cash disbursements total $188,000. The desired ending cash balance is $30,000. The excess (deficiency) of cash available over disbursements for January is: Select one: a. 23,000 b. $13,000 c. $201,000 d. ($5,000)
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT