A) Prepare the cash budget of ABACUS Inc. for the quarter October to December, based upon...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
A) Prepare the cash budget of ABACUS Inc. for the quarter October to December, based upon the following data and additional information. (14 marks) Purchase Month July August September October November December Sales (S) 90,000 93,500 86,000 78,000 78,500 88,600 Additional Information: 30,000 23,000 48,900 34,560 35,980 37,400 Wages (S) 9,000 9,400 9,900 7,000 18,600 8,000 Selling Overheads (S) 7,850 9,300 3,610 3,510 3,400 3.250 Production Overheads ($) 5,580 8,820 9,470 6,880 7,000 7,680 The Cash balance at 1 October is $ 850000 Purchases are 50% in cash and balance are paid the month Following. Sales are 50% Cash, 40% Received month following and Balance 10% in the month following the second month. A plot of land will be purchased and to be paid in October $ 75000. • Wages are paid one month in arrear and all overheads are paid two months in arrear ABC Ltd is due to repay a loan of $ 8000 in November. A dividend of $ 80,000 is expected to be paid in November A) Prepare the cash budget of ABACUS Inc. for the quarter October to December, based upon the following data and additional information. (14 marks) Purchase Month July August September October November December Sales (S) 90,000 93,500 86,000 78,000 78,500 88,600 Additional Information: 30,000 23,000 48,900 34,560 35,980 37,400 Wages (S) 9,000 9,400 9,900 7,000 18,600 8,000 Selling Overheads (S) 7,850 9,300 3,610 3,510 3,400 3.250 Production Overheads ($) 5,580 8,820 9,470 6,880 7,000 7,680 The Cash balance at 1 October is $ 850000 Purchases are 50% in cash and balance are paid the month Following. Sales are 50% Cash, 40% Received month following and Balance 10% in the month following the second month. A plot of land will be purchased and to be paid in October $ 75000. • Wages are paid one month in arrear and all overheads are paid two months in arrear ABC Ltd is due to repay a loan of $ 8000 in November. A dividend of $ 80,000 is expected to be paid in November
Expert Answer:
Answer rating: 100% (QA)
Based on nature neural networks are the usual representation we make of the brain ne... View the full answer
Related Book For
Financial Accounting A User Perspective
ISBN: 978-0470676608
6th Canadian Edition
Authors: Robert E Hoskin, Maureen R Fizzell, Donald C Cherry
Posted Date:
Students also viewed these accounting questions
-
Give a brief description of the status of the attached STATEMENT OF INCOME COSTCO WHOLESALE CORPORATION CONSOLIDATED BALANCE SHEETS (Amounts in millions, except par value and share data) August 30,...
-
1. What was the greatest strategic mistake by RCA? b. What was the company betting on regarding the video disk? c. What were the three reasons why the U.S. market collapsed in manufacturing...
-
The consolidated statements of cash flows and related note disclosure for Sirius XM Canada Holdings Inc. are in Exhibits 5-16A and B. Sirius broadcasts satellite radio channels to subscribers....
-
What other types of contingency planning should Matt and Chris include to make the report comprehensive? Please explain the relevance of each suggestion.
-
Is it accurate to say that as a nation's economy falls into recession, its structural and frictional unemployment rates should rise?
-
What are sunk costs? How do they affect solution evaluation?
-
Tomatoes have one of highest production volumes in the world and drying is one major process for preservation. Color is an important quality index for consumers. Three factors of storage, each at two...
-
The pull strength of a wire bond is an important characteristic. The following table gives information on pull strength (y), die height (x1), post height (x2), loop height (x3), wire length (x4),...
-
On May 1, Soriano Company reported the following account balances along with their estimated fair values: Receivables Inventory Copyrights Account Patented technology Total assets Current liabilities...
-
A payroll register for Warne Company is provided. Complete the payroll register for the semimonthly pay period ended, September 1630, 20--. Use the federal income tax withholding tables in Lesson...
-
Q1: What section of the legislation ( Tobacco and Other Smoking Products Act 1998 (Qld) defines "health facility land" and what does the definition say? Q2: How is a "service" defined under the...
-
Can you provide an specific example of what would be a consumption expenditure that the government could give up and an specific example for an investment
-
If Raines Company earned $300,000 in net income and paid cash dividends of $35,000, what are Raines's earnings per share if it has 50,000 shares outstanding?
-
How do globalization processes impact patterns of cultural diffusion, identity formation, and social inequality across both local and global scales ?
-
4. What is the total charge (in Coulombs) of a system containing 4.2 1022 protons? 5. How many electrons are required to achieve of a charge of -8.5 nC? (1 pt) 6. A system contains 3.6 10 15 protons...
-
How does the concept of social stratification intersect with the mechanisms of social mobility within contemporary societies ?
-
A measure of productive output of units for a period of time, expressed in terms of completed whole units, is the definition of ? Explain.
-
Write a declaration for each of the following: a. A line that extends from point (60, 100) to point (30, 90) b. A rectangle that is 20 pixels wide, 100 pixels high, and has its upper-left corner at...
-
One qualitative characteristic that underlies financial accounting is comparability. As you will recall, comparability refers to similarities of financial information between different companies, and...
-
On March 1, 2011, Zephur Winds Ltd. purchased a machine for $80,000 by paying $20,000 down and issuing a note for the balance. The machine had an estimated useful life of nine years, and an estimated...
-
Compare and contrast time-series analysis and cross-sectional analysis.
-
Assume the same facts as in Problem 42. Further assume that next year, Gary sells the SUV for $20,000. a. How much depreciation expense can Gary deduct as a business deduction with respect to the SUV...
-
Describe how liabilities are reported and analyzed.
-
Assume the same facts as in Problem 29, except that Sally has AGI of \($75,000.\) What is her qualified student loan interest deduction in 2019? Problem 29, In 2019, Sally Morris, a single taxpayer,...
Study smarter with the SolutionInn App