Schedule of Cash Payments for a Service Company EastGate Physical Therapy Inc. is planning its...
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Schedule of Cash Payments for a Service Company EastGate Physical Therapy Inc. is planning its cash payments for operations for the first quarter (January-March). The Accrued Expenses Payable balance on January 1 is $31,500. The budgeted expenses for the next three months are as follows: January February March Salaries $88,200 $97,700 $72,500 6,000 Utilities 6,600 7,900 67,000 Other operating expenses 55,800 60,800 Total $134,300 $155,600 $172,600 Other operating expenses include $4,000 of monthly depreciation expense and $900 of monthly insurance expense that was prepaid for the year on May 1 of the previous year. Of the remaining expenses, 65% are paid in the month in which they are incurred, with the remainder paid in the following month. The Accrued Expenses Payable balance on January 1 relates to the expenses incurred in December. Prepare a schedule of cash payments for operations for January, February, and March. Enter all amounts as positive numbers. EastGate Physical Therapy Inc. Schedule of Cash Payments for Operations For the Three Months Ending March 31 January February March Payments of prior month's expense Payments of current month's expense Total cash payments
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