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Check Your Work- Microsoft Edge ? ezto.mheducation.com/hm.tpx 2.00 points Walter

ID: 2530439 • Letter: C

Question

Check Your Work- Microsoft Edge ? ezto.mheducation.com/hm.tpx 2.00 points Walter Company has the following information for the month of March: Cash balance, March 1 Collections from customers Paid to suppliers Manufacturing overhead Direct labon Selling and edministrative 5 17,820 41,450 23,30D ,1D0 B,750 5,200 Walter pays all expenses in the month incurred. Manufacturing overhead includes S1,700 for machinery depreciation, but the amount for selling and administrative expenses is exclusive of depreciation Additionally, Walter also expects to buy a piece of property for $8,000 during March. Waiter can borrow in increments of $1,000 and would like to maintain a minimum cash balance of $11,000. Required: Prepare walter's cash bucget for the month of March. 3Answer is complete but not entirely correct. Boginning Cash Galance Budgeted Cash 17,820 41,450 50,650 8620 2.000 10,620 Budgeted Cash Payments Prelminary Cash Galancoe Cash Borrowed Fnding cash halance O Type here to search 16 PM 4/24/2018

Explanation / Answer

Beginning Cash Balance $17,820

Budgeted Cash Receipts $41,450

Budgeted cash payments $50,650

Priliminary cash Balance $8,620

Cash Borrowed $3,000**

Ending Cash Balance $11,620

*** We need $11,000 as a minimum cash balance, We have only $8620, we need to borrow $2,380 which is rounded to $3,000 ($3,000 is because, The borrowing should be in the form of an increment of $1000)