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Prepare a Debtors Collection Schedule for March and April 2020

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Prepare a Debtors Collection Schedule for March and April 2020. 1.2 Prepare the Cash Budget for March and April 2020. Note: Where applicable, round off all amounts to the nearest Rand. (6) (14) INFORMATION 1. Celltech Limited expects to have a favourable bank balance of R154 000 on 28 February 2020. 2. Total sales figures for 2019 and 2020 are as follows: December 2019 February 2020 January 2020 Actual (R) 260 000 March 2020 April 2020 Budgeted (R) 320 000 280 000 Total sales 410 000 310 000 3. 60% of sales are cash sales. 4. Debtors settle their accounts as follows: 50% one month after the sale 45% two months after the sale 5% is written off as bad debts . 5. Total purchases of inventory for 2020 are as follows: January 160 000 February 180 000 March 175 000 April 220 000 Total purchases (R) 6.40% of the purchases are for cash. The balance is purchased on credit. Creditors are paid one month after the month of purchase. 7. Other cash operating expenses are expected to amount to R70 000 for February 2020 and are expected to increase by 10% from 1 March 2020. 8. Equipment costing R120 000 will be purchased on 01 March 2020 A deposit of R20 000 will be paid on this date. The balance will be paid in five equal monthly instalments commencing 30 April 2020. 9. The proprietor plans to make the following drawings during March 2020: Trading stock R12 000 Cash R15 000 10. A fixed deposit of R60 000 will be made on 1 April 2020. Interest at 8% per annum will be received monthly on this fixed deposit. 11. Property rates and taxes are paid monthly and amount to R2 000 per month. These are expected to increase by 10% with effect from 1 April 2020. 12. Monthly rent paid amounts to R40 000. Rentals are expected to increase by 10% per annum with effect from 1 April. 13. Monthly salaries amount to R22 000. Salaries will increase by 8% with effect from 01 April 2020.