b You are asked to prepare a Cash Budget using the cash collections
in for the JJ Pharmacy. The following information is available.
i Cash balance at January ; $ Also, in the first quarter direct material cost $ direct Labour cost $ Administration expenses
$
Advertising $ and rent $ quarterly.
ii Equipment was purchased in the first quarter for $ Equipment purchases increased in the second quarter by
Equipment purchases in the third and fourth quarter $ respectively
iii. A dividend of $ and marketing expenses $ to be paid quarterly.
iv Administration Expenses rose by in the second quarter, in the third
quarter and in the fourth quarter.
v For financing purposes, a loan of $ was borrowed in the first quarter and $ in the third quarter.
vi In the fourth quarter the $ loan with interest of $ were repaid as well as the $ loan with interest of $
vii. Direct materials and Direct labour increased each quarter by $ and
respectively.
Viii. Taxes of to be paid in the third quarter
Prepare a cash budget
