Bengal Co. provides the following unit sales forecast for th…
Bengal Co. provides the following unit sales forecast for the next three months: July August September Sales units 5,000 5,700 5,560 The company wants to end each month with ending finished goods inventory equal to 25% of the next month’s sales. Finished goods inventory on June 30 is 1,250 units. The budgeted production units for July are:
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Use the following information to determine the ending cash balance to be reported on the month ended June 30 cash budget. Beginning cash balance on June 1, $73,000. Cash receipts from sales, $413,000. Budgeted cash payments for purchases, $268,000. Budgeted cash payments for salaries, $35,000. Other budgeted cash expenses, $57,000. Cash repayment of bank loan, $32,000. Budgeted depreciation expense, $34,000.
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