Use the following information to prepare the July cash budget for Anker Co. It should show...

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Accounting

Use the following information to prepare the July cash budgetfor Anker Co. It should show expected cash receipts and cashdisbursements for the month and the cash balance expected on July31.
a.?Beginning cash balance on July 1: $63,000.
b.?Cash receipts from sales: 30% is collected in the month ofsale, 50% in the next month, and 20% in the second month after sale(uncollectible accounts are negligible and can be ignored). Salesamounts are: May (actual), $1,700,000; June (actual), $1,200,000;and July (budgeted), $1,400,000.
c.?Payments on merchandise purchases: 90% in the month ofpurchase and 10% in the month following purchase. Purchases amountsare: June (actual), $620,000; and July (budgeted), $790,000.
d.?Budgeted cash disbursements for salaries in July:$220,000.
e.?Budgeted depreciation expense for July: $11,000.
f.?Other cash expenses budgeted for July: $230,000.
g.?Accrued income taxes due in July: $50,000.
h.?Bank loan interest due in July: $7,000

Required:
Prepare cash budget for month of July?

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ANKER COMPANY CASH BUDGET PARTICULARS MAY JUNE JULY BEGINNING CASH BALANCE AS ON JULY 1 63000 ADD CASH RECEIPTS 1360000 CASH AVAILABLE 1423000 LESS CASH PAYMENTS FOR PURCHASES 711000 LESS CASH PAYMENTS FOR See Answer

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