Use the following information to prepare the September cash budget for PTO Company. Ignore the...
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Accounting
Use the following information to prepare the September cash budget for PTO Company. Ignore the Loan activity section of the budget. Beginning cash balance, September 1, $48,000. Budgeted cash receipts from September sales, $265,000. Direct materials are purchased on credit. Purchase amounts are August (actual), $73,000; and September (budgeted), $109,000. Payments for direct materials follow: 65% in the month of purchase and 35% in the first month after purchase. Budgeted cash payments for direct labor in September, $31,000. Budgeted depreciation expense for September, $3,700. Budgeted cash payment for dividends in September, $54,000. Budgeted cash payment for income taxes in September, $10,400. Budgeted cash payment for loan interest in September, $1,500.
BEGINNING OF CASH BALANCE 48000
ADD CASH RECEIPTS FROM SALES 265000
TOTAL CASH AVAILABLE 313000
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TOTAL CASH PAYMENTS ______
ENDING CASH BALANCE ______
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