TASK 1.1 Kashi is preparing the cash budget for the first 3 months of her business's trading. Business is called Kashi textiles and Kashi will be investing £25,000 of her personal savings to get it...


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TASK 1.1<br>Kashi is preparing the cash budget for the first 3 months of her business's trading. Business is called<br>Kashi textiles and Kashi will be investing £25,000 of her personal savings to get it started. Rest of the<br>information is as follows:<br>In January 2022, Kashi will purchase a computer and a printer for use in the business for £1,980,<br>а.<br>payable upfront.<br>b. Kashi expects to sell the following textiles:<br>January<br>£4,500 to Moon Traders<br>February<br>£6,890 to Hans Traders<br>March<br>£5,670 to Down Town shops.<br>С.<br>Kashi expects to make the following purchases of textiles over the next three months:<br>January<br>£3,280 for Moon Traders supplies<br>February<br>£5,120 for Hans Traders supplies<br>March<br>£4,100 for Down Town shops' supplies<br>d. All sales will be made for cash.<br>е.<br>Purchases: 10% payment in the same month, 50% payment next month and remaining payment<br>in 2 months' time.<br>f.<br>Kashi will need to hire a printing machine to print her logos and the hiring charges will be £250<br>per month, payable in the same month. Hiring will be made in January and will be needed for all<br>the subsequent trading months.<br>g.<br>Kashi has agreed to pay £250 per month to an accountant for his advice and preparation of<br>accounts.<br>h. Other expenses have been estimated as follows:<br>£100 on delivery costs per month, payable at the end of each month.<br>£425 on telephone costs per quarter, payable at the end of the quarter.<br>£250 on other expenses, such as electricity and insurance, payable at the end of each month.<br>i.<br>Kashi will be withdrawing £700 per month to cover her personal expenses.<br>Prepare the cash budget for Kashi textiles for first 3 months' of trading from January to March,<br>2022.Show your workings separately.<br>

Extracted text: TASK 1.1 Kashi is preparing the cash budget for the first 3 months of her business's trading. Business is called Kashi textiles and Kashi will be investing £25,000 of her personal savings to get it started. Rest of the information is as follows: In January 2022, Kashi will purchase a computer and a printer for use in the business for £1,980, а. payable upfront. b. Kashi expects to sell the following textiles: January £4,500 to Moon Traders February £6,890 to Hans Traders March £5,670 to Down Town shops. С. Kashi expects to make the following purchases of textiles over the next three months: January £3,280 for Moon Traders supplies February £5,120 for Hans Traders supplies March £4,100 for Down Town shops' supplies d. All sales will be made for cash. е. Purchases: 10% payment in the same month, 50% payment next month and remaining payment in 2 months' time. f. Kashi will need to hire a printing machine to print her logos and the hiring charges will be £250 per month, payable in the same month. Hiring will be made in January and will be needed for all the subsequent trading months. g. Kashi has agreed to pay £250 per month to an accountant for his advice and preparation of accounts. h. Other expenses have been estimated as follows: £100 on delivery costs per month, payable at the end of each month. £425 on telephone costs per quarter, payable at the end of the quarter. £250 on other expenses, such as electricity and insurance, payable at the end of each month. i. Kashi will be withdrawing £700 per month to cover her personal expenses. Prepare the cash budget for Kashi textiles for first 3 months' of trading from January to March, 2022.Show your workings separately.
Jun 04, 2022
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