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Problem - Schedule of cash payments - Sage Learning Systems Inc. was organized on September 30, 2012. Projected selling and administrative expenses for each of the first three months of operations are as follows:
October $67,500
November 75,200
December 88,100
Depreciation, insurance, and property taxes represent $9,000 of the estimated monthly expenses. The annual insurance premium was paid on September 30, and property taxes for the year will be paid in June. Sixty percent 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.
Required - Prepare a schedule indicating cash payments for selling and administrative expenses for October, November, and December.
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