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Question 3 Expected sales for the upcoming five months (March - July, 2023) in "GBB"...

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Accounting

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Question 3 Expected sales for the upcoming five months (March - July, 2023) in "GBB" comnanv is as follows. Sales policy is to receive 35% of the sales in cash at the same month of sale, and the remaining 65% in the next month. Purchases cost is expected to be 60% of each month sales and is paid completely a month after the purchases. Other cash incomes Rent to be received RO 1000 in June and RO 3000 in August Loan is expected to be borrowed in June RO 5,000 . Interest is to be received RO 2,500 on June and RO 1,500 in August Other expenses: Wages 30% of each month sale is paid in the same month. Rent RO 7,000 paid on April and RO 5,000 on July. Taxes RO 4,000 to be paid in two equal parts in June and September. Other Miscellaneous RO 1,500 is paid monthly Opening balance for May is RO 6,000. Prepare the Cash Budget for the second quarter of 2023 (May - July)

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