A relatively new company, Wine To End Whining, Inc., has determined they need to engage in a budgeting process as part of their new strategic plan. The Company has asked you to provide the following items for the months of January, February, and March of 2017: A) a Purchases Budget; B) a Cash Budget; and C) a Budgeted Income Statement.
They have provided you with the planning document below and also, with their December 31, 2016 Balance Sheet. Please complete the three items requested on Worksheet Tabs A, B, and C of this Workbook for Module 7 Assignment 1.
A. Based on the information available to you, complete the Purchases Budget worksheet below. Check figures are: January Budgeted Purchase for Next Month Sales = $132,470; March Inventory Needed to be Available during Current Month = $194,090.
B. Based on the information available to you, complete the Cash Budget worksheet below. Check figures are: January Cash Receipts = $208,800; February Cash Disbursements = $204,259; March Ending Cash Balance = $114,679.
C. Based on the information available to you, complete the Budgeted Income Statement worksheet below. Check figures are: January Budgeted Gross Margin = $77,000; February Budgeted Operating Income = $10,710; March Budgeted Net Income = $4,242.
Attachment:- Workbook.xlsx