Business, 22.06.2021 18:50 Isaiahgardiner5143
EastGate Physical Therapy Inc. is planning its cash payments for operations for the first quarter (January–March). The Accrued Expenses Payable balance on January 1 is $30,200. The budgeted expenses for the next three months are as follows:
January February March
Salaries $69,500 $84,600 $93,600
Utilities 5,700 6,300 7,600
Other operating expenses 52,800 57,600 63,400
Total $128,000 $148,500 $164,600
Other operating expenses include $3,800 of monthly depreciation expense and $900 of monthly insurance expense that was prepaid for the year on May 1 of the previous year. Of the remaining expenses, 75% are paid in the month in which they are incurred, with the remainder paid in the following month. The Accrued Expenses Payable balance on January 1 relates to the expenses incurred in December.
Prepare a schedule of cash payments for operations for January, February, and March.
Answers: 3
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EastGate Physical Therapy Inc. is planning its cash payments for operations for the first quarter (J...
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