project 5
rawilliams89
project_5__budget_handout.xlsApril 30, 2013 Balance Sheet
| Balance Sheet (given) | |||
| April 30, 2013 | |||
| Current Assets | |||
| Cash | $ 2,500 | ||
| Accounts Receivable | 17,250 | ||
| Inventory | 26,000 | ||
| Prepaid Insurance | 3,600 | ||
| Total Current Liabilities | $ 49,350 | ||
| Plant Assets | |||
| Property, Plant & Equipment | 24,000 | ||
| Accumulated depreciation | (4,800) | ||
| Total Plant Assets | 19,200 | ||
| TOTAL ASSETS | $ 68,550 | ||
| Current Liabilities | |||
| Accounts payable | $ 24,000 | ||
| Short-term borrowing | - 0 | ||
| Salaries & Commissions payable | 2,850 | ||
| Employees benefits payable | 800 | ||
| Income taxes payable | 2,030 | ||
| TOTAL LIABILITIES | 29,680 | ||
| Stockholder's equity | |||
| Common Stock | 30,000 | ||
| Retained earnings/Current year's income | 8,870 | ||
| TOTAL STOCKHOLDER'S EQUITY | 38,870 | ||
| TOTAL LIABILITIES & STOCKHOLDER'S EQUITY | $ 68,550 | ||
| - 0 |
Operating Budget
| Budget Sales | ||||||||
| April 30, 2013 | ||||||||
| Percentage Increase | 5.0% | 6.0% | 7.0% | 10.0% | ||||
| April | May | June | July | August | September | |||
| Sales | $ 72,000 | $ 95,000 | ||||||
| Cash Sales | 75% | |||||||
| Credit Sales | 25% | |||||||
| Purchases, Inventory & Cost of goods sold | ||||||||
| Beginning Inventory | ||||||||
| Purchases | 32,000 | |||||||
| Goods Available for Sale | ||||||||
| Ending Inventory | ||||||||
| Cost of Goods Sold | ||||||||
| Budgeted Income Statement | ||||||||
| Sales | ||||||||
| Cost of Goods Sold | ||||||||
| Gross Profit | ||||||||
| Operating Expenses | ||||||||
| Salaries | ||||||||
| Commissions | ||||||||
| Total Salaries & Commissions | ||||||||
| Employees Benefits | ||||||||
| Rent | ||||||||
| Depreciation | ||||||||
| Insurance | ||||||||
| Miscellaneous Expense | ||||||||
| Total Operating Expenses | ||||||||
| Operating Income | ||||||||
| Interest Expense | ||||||||
| Operating Income before taxes, after interest | ||||||||
| Income Tax Expense | ||||||||
| Net Income |
Financial Budget
| Cash Collections | ||||||
| April 30, 2013 | May | June | July | August | ||
| Cash sales | ||||||
| Collections of last month's sales | ||||||
| Total Collections | ||||||
| Cash payments for purchases | ||||||
| Payments for last month's purchases | ||||||
| Payments for current month's purchases | ||||||
| Total payments for purchases | ||||||
| Cash payments for operating expenses | ||||||
| Salaries & Commissions - last month | ||||||
| Salaries & Commissions - current month | ||||||
| Employee Benefits | ||||||
| Rent | ||||||
| Miscellaneous | ||||||
| Total payments for operating expenses | ||||||
| Cash Budget | ||||||
| Beginning Cash | ||||||
| Cash Collections | ||||||
| Cash Available | ||||||
| Cash Payments | ||||||
| Purchases | ||||||
| Operating Expenses | ||||||
| Capital Expenditures (delivery truck) | ||||||
| Total Cash Payments | ||||||
| Ending Cash balance before financing | ||||||
| Minimum cash balance required | ||||||
| Cash excess/(deficiency) | ||||||
| Borrowing at the end of the month | ||||||
| Principal payments at the end of the month | ||||||
| Interest expense | ||||||
| Total effects of financing | ||||||
| Ending cash balance |
August 31, 2013 Balance Sheet
| Budgeted Balance Sheet | |
| August 31, 2013 | |
| Current Assets | |
| Cash | |
| Accounts Receivable | |
| Inventory | |
| Prepaid Insurance | |
| Total Current Assets | |
| Plant Assets | |
| Property, Plant & Equipment | |
| Truck | |
| Accumulated depreciation | |
| Total Plant Assets | |
| TOTAL ASSETS | |
| Current Liabilities | |
| Accounts payable | |
| Short-term borrowing | |
| Salaries & Commissions payable | |
| Employees benefits payable | |
| Income taxes payable | |
| TOTAL LIABILITIES | |
| Stockholder's equity | |
| Common Stock | |
| Retained earnings/Current year's income | |
| TOTAL STOCKHOLDER'S EQUITY | |
| TOTAL LIABILITIES & STOCKHOLDER'S EQUITY |
