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Question 1 Colter Company prepares monthly cash budgets. Relevant data from operating budgets for 2017...

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Question 1 Colter Company prepares monthly cash budgets. Relevant data from operating budgets for 2017 are as follows: Sales Direct materials purchases Direct labor Manufacturing overhead January February $425,520 $472.800 141,840 147,750 106,380 118,200 82,74088,650 Selling and administrative expenses 93,378 100,470 All sales are on account Collections are expected to be 50% nthe month of sale 30% in the first month following the sale, ar 20% n the second month owing he sale typercent o re materials purchases are paid in cash in the month of purchase, and the balance due is paid in the month following the purchase. All other items above are paid in the month incurred except for selling and administrative expenses that include $1.182 of depreciation per month. Other data: 1. Credit sales: November 2016, $295,500; December 2016, $ 378,240. 2. Purchases of direct materials: December 2016. 118.200 3. Other reccipts: January-Collection of December 31, 2016, notes reccivable $17,730; February-Proceeds from sale of securities$ 7,092. 4. Other disbursements: February-Payment of $7,092 cash dividend The company's cash balance on January 1, 2017, is expected to be $70,920. The company wants to maintain a minimum cash balance of $ 59,100

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