Q2. 50% of Sales is in cash, 25% collected in 1 month and 25% collected in...

 

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Q2. 50% of Sales is in cash, 25% collected in 1 month and 25% collected in 2 months. 60% of material purchases are paid in cash, and 40% are paid in 1 month. The company has $10000 surplus cash at the end of 2022. Find the ending cash balance at the end of March 2023. 3-monthly Cash Budget 2022 Sales Material Purchases Labour Costs Operating Costs Taxes Debt Payment Cash Sales Collection of Receivables Total Revenue/Cash Inflow Cash Purchases Payment of Payables Labour Costs Operating Costs Taxes Debt Payment Total Expenses/Cash Outflow Net Cash: Deficit & Surplus November December January 100000 140000 180000 40000 50000 60000 20000 30000 10000 20000 20000 10000 20000 $10000 2023 February March 200000 240000 70000 100000 30000 30000 20000 20000 40000 20000 Q2. 50% of Sales is in cash, 25% collected in 1 month and 25% collected in 2 months. 60% of material purchases are paid in cash, and 40% are paid in 1 month. The company has $10000 surplus cash at the end of 2022. Find the ending cash balance at the end of March 2023. 3-monthly Cash Budget 2022 Sales Material Purchases Labour Costs Operating Costs Taxes Debt Payment Cash Sales Collection of Receivables Total Revenue/Cash Inflow Cash Purchases Payment of Payables Labour Costs Operating Costs Taxes Debt Payment Total Expenses/Cash Outflow Net Cash: Deficit & Surplus November December January 100000 140000 180000 40000 50000 60000 20000 30000 10000 20000 20000 10000 20000 $10000 2023 February March 200000 240000 70000 100000 30000 30000 20000 20000 40000 20000

Answer rating: 100% (QA)

Answer To find the ending cash balance at the end of March 2023 we need to calculate the cash inflow... View the full answer