Schedule of cash payments for a service company Horizon Financial Inc. was organized on February 28. Projected selling a
Posted: Sun Jun 05, 2022 8:58 pm
Schedule of cash payments for a service company
Horizon Financial Inc. was organized on February 28. Projected
selling and administrative expenses for each of the first three
months of operations are as follows:
Depreciation, insurance, and property taxes represent $35,000 of
the estimated monthly expenses. The annual insurance premium was
paid on February 28, and property taxes for the year will be paid
in June. 71% of the remainder of the expenses are expected to be
paid in the month in which they are incurred, with the balance to
be paid in the following month.
Prepare a schedule of cash payments for selling and
administrative expenses for March, April, and May.
Horizon Financial Inc. was organized on February 28. Projected
selling and administrative expenses for each of the first three
months of operations are as follows:
Depreciation, insurance, and property taxes represent $35,000 of
the estimated monthly expenses. The annual insurance premium was
paid on February 28, and property taxes for the year will be paid
in June. 71% of the remainder of the expenses are expected to be
paid in the month in which they are incurred, with the balance to
be paid in the following month.
Prepare a schedule of cash payments for selling and
administrative expenses for March, April, and May.