60.1K

Verified Solution

Link Copied!

Tilson Corporation has projected sales and production in units for the second quarter of the coming year as follows:

Cash$-$related production costs are budgeted at $$5$ per unit produced. Of these production costs, $50\%$ are paid in the month in which

they are incurred and the balance in the following month. Selling and administrative expenses will amount to $$50,000$ per month. The

accounts payable balance on March $31$ totals $$176,000,$ which will be paid in April.

All units are sold on account for $$17$ each. Cash collections from sales are budgeted at $50\%$ in the month of sale, $40\%$ in the month

following the month of sale, and the remaining $10\%$ in the second month following the month of sale. Accounts receivable on April $1$

totaled $$455,000($ $$95,000$ from February's sales and $$360,000$ from March's sales$).$

Required:

a$.$ Prepare a schedule for each month showing budgeted cash disbursements for Tilson Corporation.

b$.$ Prepare a schedule for each month showing budgeted cash receipts for Tilson Corporation.

Complete this question by entering your answers in the tabs below.

Prepare a schedule for each month showing budgeted cash receipts for Tilson Corporation.Tilson Corporation has projected sales and production in units for the second quarter of the coming year as follows:

Cash$-$related production costs are budgeted at $$5$ per unit produced. Of these production costs, $50\%$ are paid in the month in which

they are incurred and the balance in the following month. Selling and administrative expenses will amount to $$50,000$ per month. The

accounts payable balance on March $31$ totals $$176,000,$ which will be paid in April.

All units are sold on account for $$17$ each. Cash collections from sales are budgeted at $50\%$ in the month of sale, $40\%$ in the month

following the month of sale, and the remaining $10\%$ in the second month following the month of sale. Accounts receivable on April $1$

totaled $$455,000($ $$95,000$ from February's sales and $$360,000$ from March's sales$).$

Required:

a$.$ Prepare a schedule for each month showing budgeted cash disbursements for Tilson Corporation.

b$.$ Prepare a schedule for each month showing budgeted cash receipts for Tilson Corporation.

Complete this question by entering your answers in the tabs below.

Required $A$

Prepare a schedule for each month showing budgeted cash disbursements for Tilson Corporation.

What are the March Sales for April and May?

Show all imagesShow all images

Answer & Explanation Solved by verified expert

See Answer