You must set up the liquidity budget for AS Beaucoup according to the three-part direct method given the following prerequisites:

Depreciation of buildings, machinery and equipment is resp. 250,000, 450,000 and 181,250.

AS Beaucoup pays down 3,850,000 on the long-term debt.

AS Beaucoup budgets to pay 1,639,563 in VAT. next year.

All accounts payable are linked to the purchase of goods.

No shares were sold during the period.

Use 25% VAT.

Performance budget

Revenues						16,781,250
Gain on sale of equipment				42 500
Cost of goods						-7,805,000
Salary							-2,625,000
Depreciation						-881,250
Miscellaneous operating expenses			-1 550,000
Operating profit					3,962,500
Impairment of shares					-76 250
Interest costs						-825,000
Profit before tax					3,061,250
Tax payable						-673 475
Annual result						2,387,775

Answer rating: 100% (QA)

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