Question

Refer to Problems P22- 38A and P22- 39A.
a. Capital expenditures include $ 40,000 for new manufacturing equipment to be purchased and paid in the first quarter.
b. Cash receipts are 75% of sales in the quarter of the sale and 25% in the quarter following the sale.
c. Direct materials purchases are paid 50% in the quarter purchased and 50% in the next quarter. d. Direct labor, manufacturing overhead, and selling and administrative costs are paid in the quarter incurred.
e. Income tax expense for the first quarter is projected at $ 45,000 and is paid in the quarter incurred.
f. Mata expects to have adequate cash funds and does not anticipate borrowing in the first quarter.
P22- 38A



Requirements
1. Prepare Mata’s budgeted income statement for the first quarter of 2015.
2. Prepare Mata’s budgeted balance sheet for March 31, 2015.
3. Prepare Mata’s budgeted statement of cash flows for the first quarter of2015.


$1.99
Sales3
Views105
Comments1
  • CreatedJanuary 16, 2015
  • Files Included
Post your question
5000