The following are the total sales of Top Class Ltd for the past three months of 2021 Month April May June Total Sales R900 000 R700 000 R500 000 The budgeted sales figures for the next three months are expected as follows Month July August September Total Sales R825 000 R760 000 R920 000 Additional information
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The following are the total sales of Top Class Ltd for the past three months of 2021
Month April May June
Total Sales R900 000 R700 000 R500 000
The budgeted sales figures for the next three months are expected as follows
Month July August September
Total Sales R825 000 R760 000 R920 000
Additional information
1) 40% of all sales are made in cash.
2) Credit sales for October 2021 are expected to be R450 000.
3) Debtors are collected as follows.
• 15% of outstanding amounts are collected during the month following the month of sale
(i.e.: 30 days). A discount of 4,5% is offered for early settlement of accounts.
• 60% is collected in the subsequent month (i.e.: 60 days).
• 20% is collected in the subsequent month (i.e.: 90 days).
• The balance is irrecoverable and needs to be written off.
REQUIRED:
Prepare a schedule of
to 31 October 2021.
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- Black Corporation has forecasted sales in 2020 as follows: Jan-120,000 Feb-P160,000 Mar-P180,000 Apr-P240,000. December 2019 sales is P100,000. Sales are collected 25% for the month, 50% the following month and balance for the month again. What is the total cash receipts for the first quarter of 2020? P540,000 9420,000 P630,000 9400,000The following information is applicable to Shine Wholesalers for the year 2020: Budgeted sales:July R105 000August R132 000September R165 000 In October 2020, sales are expected to increase by 20% relative to sales in September 2020. Cash sales amount to 20% of total sales. 55% of all credit sales are collected in the month of sale, with a discount of 10% to those debtors who pay during thistime. The outstanding credit sales are collected in equal instalments over the next two months. There are no bad debts. Purchases of raw materials are expected to be sufficient to meet 60% of the total sales for the next month. The companynormally settles half of its creditors in the month following the month of purchase. The remaining creditors are paid twomonths after the month of purchase. Wages and salaries are paid to employees at the end of the month in which they are earned. Wages and salaries areexpected to be:June R22 200July R20 500 Required:Prepare a cash budget for Shine…REQUIRED Use the information provided below to prepare the Pro-Forma Statement of Comprehensive Income for July and August 2021 (using separate monetary columns for each month). INFORMATION The budgeted Statement of Comprehensive Income of Ryobi Enterprises for the year ended 30 June 2021 is as follows: Sales 3 000 000 Cost of sales (2 000 000) Gross profit 1 000 000 Rent income 108 000 1 108 000 Operating expenses (720 000) Salaries 360 000 Advertising 120 000 Bad debts 60 000 Depreciation Other operating expenses Operating profit Interest expense 30 000 150 000 388 000 (38 000) Net profit 350 000
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