Thompson Brothers Inc. is a distributor of men's, women's, and children's shoes. The company imports shoes...

  

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Thompson Brothers Inc. is a distributor of men's, women's, and children's shoes. The company imports shoes primarily from Europe and sells them to specialty clothing and shoe stores around the country. The company's chief accountant has gathered the following information to aid in the preparation of a cash budget for the third quarter of year 2. Interest revenue from investments Estimated cash payment for manufacturing costs Interest payments on a line of credit July August $2,950 $3,207 $2,310 1,147,690 1,229,828 15,340 12,900 Income tax payments Purchase of factory equipment for cash Selling and administrative expense cash payments 236,390 Minimum cash balance 295,000 Cash balance at beginning of month 308,880 July: $3,220,200 August: $3,199,620 September: $3,202,400 1,421,340 1,402,010 229,190 295,000 September 1,854,533 17,941 179,508 1,006,408 250,600 295,000 The company expects to collect cash on its accounts receivable during the three months, as follows: Complete the following cash budget for Thompson Inc. by entering the appropriate values in the spaces provided. Use a minus sign to indicate the negative amount. Thompson Brothers Inc. Cash Budget For the Quarter Ending September 30, Year 2 July Estimated cash receipts from Collections on accounts receivable Interest revenue Total cash receipts Estimated cash payments for Manufacturing costs Selling and administrative expenses Purchase of factory equipment Interest expense Income taxes Total cash payments Cash increase (decrease) Cash balance at beginning of month Cash balance at end of month Minimum cash balance Excess (deficiency) $3,220,200 $3,223,150 $1,147,690 236,390 15,340 308,880 $ August $3,199,620 11 1,402,010 12,900 $328,899 September $ 2,310 $3,204,710 250,600 1,006,408 179,508 $3,308,990 $ S 295,000 $640,889 Grade It Now Save & Continue Continue without saving Thompson Brothers Inc. is a distributor of men's, women's, and children's shoes. The company imports shoes primarily from Europe and sells them to specialty clothing and shoe stores around the country. The company's chief accountant has gathered the following information to aid in the preparation of a cash budget for the third quarter of year 2. Interest revenue from investments Estimated cash payment for manufacturing costs Interest payments on a line of credit July August $2,950 $3,207 $2,310 1,147,690 1,229,828 15,340 12,900 Income tax payments Purchase of factory equipment for cash Selling and administrative expense cash payments 236,390 Minimum cash balance 295,000 Cash balance at beginning of month 308,880 July: $3,220,200 August: $3,199,620 September: $3,202,400 1,421,340 1,402,010 229,190 295,000 September 1,854,533 17,941 179,508 1,006,408 250,600 295,000 The company expects to collect cash on its accounts receivable during the three months, as follows: Complete the following cash budget for Thompson Inc. by entering the appropriate values in the spaces provided. Use a minus sign to indicate the negative amount. Thompson Brothers Inc. Cash Budget For the Quarter Ending September 30, Year 2 July Estimated cash receipts from Collections on accounts receivable Interest revenue Total cash receipts Estimated cash payments for Manufacturing costs Selling and administrative expenses Purchase of factory equipment Interest expense Income taxes Total cash payments Cash increase (decrease) Cash balance at beginning of month Cash balance at end of month Minimum cash balance Excess (deficiency) $3,220,200 $3,223,150 $1,147,690 236,390 15,340 308,880 $ August $3,199,620 11 1,402,010 12,900 $328,899 September $ 2,310 $3,204,710 250,600 1,006,408 179,508 $3,308,990 $ S 295,000 $640,889 Grade It Now Save & Continue Continue without saving

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Thompson Brothers Inc Cash Budget For the Quarter Ending September 30 Year 2 July August September E... View the full answer