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Cash Disbursement Timber Company is in the process of preparing its budget for next year....

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Accounting

Cash Disbursement Timber Company is in the process of preparing its budget for next year. Cost of goods sold has been estimated at 70 percent of sales. Lumber purchases and payments are to be made during the month preceding the month of sale. Wages are estimated at 15 percent of sales and are paid during the month of sale. Other operating costs amounting to 10 percent of sales are to be paid in the month following the month of sale. Additionally, a monthly lease payment of $44,000 is paid for computer services. Sales revenue is forecast as follows

Month Sales Revenue
February $200,000
March 240,000
April 250,000
May 290,000
June 270,000
July 310,000

Required Prepare a schedule of cash disbursements for April, May, and June. Do not use a negative sign with your answers.

Timber Company
Schedule of Cash Disbursements
April, May, and June
April May June
Lumbers purchases Answer Answer Answer
Wages Answer Answer Answer
Operating expenses Answer Answer Answer
Lease payment Answer Answer Answer
Total disbursements Answer Answer Answer

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