Waskom Furniture Company provides the following data for the months of July through October:

Collections from customers are normally 70% in the month of sale and 30% in the following month. All purchases are on credit and paid in cash in the following month. November sales are budgeted to be $165,000, and November purchases are forecast to be $150,000. Cash disbursements for expenses in November are budgeted to be $35,000. Beginning cash balance on November 1 is $55,000.

Required:

Prepare a cash budget in good form for November.

Transcribed Image Text:

Month Sales July $180,000 August 165,000 September 150,000 October 195,000 Purchases $105,000 120,000 90,000 135,000 Month Sales July $180,000 August 165,000 September 150,000 October 195,000 Purchases $105,000 120,000 90,000 135,000

Answer rating: 100% (QA)

Particulars Sales Purchases July 180 105 August 165 ... View the full answer