Respuesta :
Given data:
Transaction January February
Cash balance 46,035
Collection from customers 86,955.00 152,450.00
less:
payment for direct materials 51,150.00 76,725.00
payment for direct labor 30,690.00 46,035.00
payment for mfg overhead 21,483.00 25,575.00
add back: depreciation 1,535.00 1,535.00 non cash transaction
selling and admin exp. 15,345.00 20,460.00
sales of securities 12,276
* company must maintain a minimum of 20,460 per month.
I made the cash budget in Excel. Pls. see attachment for my Cash budget.
Cash balance at the end of January is 28,133
Cash balance at the end of February is 20,460.
Danner Company had to borrow from its line of credit to maintain its minimum cash balance requirement.
Transaction January February
Cash balance 46,035
Collection from customers 86,955.00 152,450.00
less:
payment for direct materials 51,150.00 76,725.00
payment for direct labor 30,690.00 46,035.00
payment for mfg overhead 21,483.00 25,575.00
add back: depreciation 1,535.00 1,535.00 non cash transaction
selling and admin exp. 15,345.00 20,460.00
sales of securities 12,276
* company must maintain a minimum of 20,460 per month.
I made the cash budget in Excel. Pls. see attachment for my Cash budget.
Cash balance at the end of January is 28,133
Cash balance at the end of February is 20,460.
Danner Company had to borrow from its line of credit to maintain its minimum cash balance requirement.
