Problem:
From the following information, compute the collection from Debtors for the month of June, July and August:
|
April
|
May
|
June
|
July
|
August
|
|
Sale(Rs.)
|
1,00,000
|
1,20,000
|
90,000
|
1,05,000
|
1,25,000
|
20% of sales are made in cash. Debtors are allowed a 2-month credit. They will receive 5% discount on sale if they pay off their dues within 1 month from the date of sale. About four-fifth of the Debtors normally clear their dues to avail the Cash Discount, but the remaining Debtors pay on the due date only.
Problem 20
From the following information, prepare the Cash Budget for the 3 months-September, October and November of 2004:
|
|
|
|
Factory
|
Office
|
|
Month
|
Sales
|
Purchase
|
Wages
|
Expenses
|
Expenses
|
|
|
|
|
|
|
|
July
|
50,000
|
28,000
|
3,400
|
3,200
|
4,000
|
|
August
|
65,000
|
32,500
|
3,700
|
3,300
|
4,200
|
|
September
|
70,000
|
37,200
|
3,900
|
3,450
|
4,350
|
|
October
|
60,000
|
29,500
|
4,200
|
3,600
|
4,420
|
|
November
|
84,000
|
39,700
|
4,500
|
3,700
|
4,800
|
Additional Information:
1. A Sales Commission at 5% on sales, which is due in the month following the month in which the sales dues are collected, is payable in addition to the Office Expenses.
2. The period of credit allowed to Debtors is 2 months.
3. A month's credit is obtained from the Creditors.
4. Wages are paid on the 1st and 16th of each month in respect of dues for a period of 15 days, preceding those days.
5. Other Expenses are paid in the month in which they are due.
6. For purchase of an asset under instalment-payment system, an instalment of Rs. 1,250 per month is paid.
7. Bank Balance on 1st September is Rs. 15,200.