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1. Cabanas Waterway Sands Pte Ltd (CWS) sells beach motorbikes. The following information pertains to the operation of CWS: • The company sells its only model of beach motorbike, CWS Gold, for $300 per unit. Budgeted sales for quarters 1 and 2 for the year 2021 are as follows: Quarter 1 60 Quarter 2 80 Budgeted no of units sold • 30% of the sales are collected in the same quarter, with the rest to be collected in the following quarter. Calculate the total cash collected in Quarter 2 of 2021. Cash Collection Budget Quarter 2 Cash Sales (% of Quarter 2 sales) Cash collection for Quarter 1's credit sales % of Quarter 1 sales) Total cash collection b) If CWS' budgeted cash balance at the end of Quarter 1 is $8,000, what will be the budgeted ending cash balance for Quarter 2 of the year 2021. if cash disbursement for Quarter 2 is $17.500?
2 Paraine Pte Ltd (Paralne") sells watches. Paraing forecasts that the sales and expenses for November and December 2020 will be as follows: Sales Purchases Selling and Administrative expenses November 2020 $26,000 $11,000 $7 200 December 2020 $30,000 $13,500 $9.400 Additional information: • 80% of all sales are made on credit basis, with the remainder of the sales on cash basis. All credit sales are collected in one month's time. • Purchases are to be paid in cash within the same month in which they were incurred. • 30% of selling and administrative expenses are to be paid in cash within the same month in which they were incurred and the remainder to be paid in one month's time. • Beginning cash balance for December 2020 is $7.000 (a) Using only the information above, calculate Paraine's total cash available before financing for the month of December 2020. Show all your workings clearly (b) Calculate Paraine's Accounts Receivable as at 31 December 2020 Show all your workings clearly.