The following information has been provided by Aveng Limited to be used in compiling a cash...
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The following information has been provided by Aveng Limited to be used in compiling a cash budget for January. February and March. Acual Budgeted November December 620 000 January 750 000 Total sales (R) 1.70% of total sales are for cash. Credit sales are collected as follows: -50% is collected one month after the sale -40% is collected two months after the sale -10% is written off as bad debts 2. The company has an investment in listed shares. It is expected that dividends of R25 000 will be received inFebruary. February 650 000 March 720 000 780 000 3. Aveng Limited rents out a building that it owns. The building is 120 m. Rental received in December was R100 per m. Rental is expected to increase by 10% from 1 February. 4. Purchases are as follows: The following information has been provided by Aveng Limited to be used in compiling a cash budget for January. February and March. Acual Budgeted November December 620 000 January 750 000 Total sales (R) 1.70% of total sales are for cash. Credit sales are collected as follows: -50% is collected one month after the sale -40% is collected two months after the sale -10% is written off as bad debts 2. The company has an investment in listed shares. It is expected that dividends of R25 000 will be received inFebruary. February 650 000 March 720 000 780 000 3. Aveng Limited rents out a building that it owns. The building is 120 m. Rental received in December was R100 per m. Rental is expected to increase by 10% from 1 February. 4. Purchases are as follows:
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Answer rating: 100% (QA)
Cash Inflows Cash Sales January 170 of R650000 0017 650000 R11050 February 170 of R720000 0017 720000 R12240 March 170 of R780000 0017 780000 R13260 C... View the full answer
Related Book For
Management Accounting
ISBN: 9781760421144
7th Edition
Authors: Kim Langfield Smith, Helen Thorne, David Alan Smith, Ronald W. Hilton
Posted Date:
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