12 2.5 points eBook Print References Problem 4-25 (Algo) Complete cash budget [LO4-2] Jayden's Carryout Stores has eight locations. The firm wishes to expand by two more stores and needs a bank loan to do this. Mrs. Wilson, the banker, will finance construction if the firm can present an acceptable three-month financial plan for January through March. The following are actual and forecast sales figures: November December Actual her Forecast $ 320,000 January 340,000 February March Of the firm's sales, 60 percent are for cash and the remaining 40 percent are on credit. Of credit sales, 20 percent are paid in the month after sale and 80 percent are paid in the second month after the sale. Materials cost 20 percent of sales and are purchased and received each month in an amount sufficient to cover the following month's expected sales. Materials are paid for in the month after they are received. Labor expense is 50 percent of sales and is paid for in the month of sales. Selling and administrative expense is 15 percent of sales and is paid in the month of sales. Overhead expense is $31,000 in cash per month. Sales Credit sales Depreciation expense is $10,600 per month. Taxes of $8,600 will be paid in January, and dividends of $5,000 will be paid in March. Cash at the beginning of January is $92,000, and the minimum desired cash balance is $87,000. a. Prepare a schedule of monthly cash receipts for January, February, and March. Additional Information E $ 400,000 April forecast $ 400,000 440,000 410,000 Cash sales One month after sale Two months after sale Total cash receipts November $ Jayden's Carryout Stores. Cash Receipts Schedule December 320,000 $ 340,000 $ $ January 400,000 $ 0 $ February 440,000 $ 0 $ March 410,000 0 Check

Problem 4-25 (Algo) Complete cash budget [LO4-2] Jayden's Carryout Stores has eight locations. The firm wishes to expand by two more stores and needs a bank loan to do this. Mrs. Wilson, the banker, will finance construction if the firm can present an acceptable three-month financial plan for January through March. The following are actual and forecast sales figures: Of the firm's sales, 60 percent are for cash and the remaining 40 percent are on credit Of credit soles, 20 percent are paid in the month after sale and 80 percent are paid in the second month after the sale. Moterials cost 20 percent of sales and are purchased and recelved each month in an amount sufficient to cover the following month's expected sales. Materials are paid for in the month after they are recelved. Labor expense is 50 percent of soles and is paid for in the month of sales. Selling and administrative expense is 15 percent of soles and is paid in the month of sales. Overhead expense is $31,000 in cash per month. Depreciation expense is $10,600 per month. Taxes of $8,600 will be paid in January, and dividends of $5,000 will be paid in March. Cosh at the beginning of January is $92,000, and the minimum desired cash balance is $87,000. a. Prepare a schedule of monthly cash receipts for January, February, and March. c. Prepare a monthly cash budget with borrowings and repayments for January, February, and March. Note: Negative amounts should be indicated by a minus sign. Assume the January beginning loan balance is so. Leave no cells blank be certain to enter 0 wherever required