ampbell med January February March Cash receipts $104,000 $110,000 $130,000 Cash payments For inventory 92,000 purchases For S&A expenses 33,000 34,000 wing Campbell Medical had a cash balance of $10,000 on January 1. The company desires to maintain a cash cushion of $9,000. Funds are assumed to be borrowed, in increments of $1,000, and repaid on the last day of each month; the nterest rate is 2 percent per month. Repayments may be made in any amount available. Campbell pays its vendors on he last day of the month also. The company had a monthly $40,000 beginning balance in its line of credit liability ccount from this year's quarterly results. Cash Budget Section 1: Cash Receipts 74,000 87,000 29,000 Cequired Prepare a cash budget. (Round intermediate and final answers to the nearest whole dollar amounts. Any epayments/shortage should be indicated with a minus sign.) January February Total cash available Section 2: Cash Payments Total budgeted disbursements Section 3: Financing Activities March
ampbell med January February March Cash receipts $104,000 $110,000 $130,000 Cash payments For inventory 92,000 purchases For S&A expenses 33,000 34,000 wing Campbell Medical had a cash balance of $10,000 on January 1. The company desires to maintain a cash cushion of $9,000. Funds are assumed to be borrowed, in increments of $1,000, and repaid on the last day of each month; the nterest rate is 2 percent per month. Repayments may be made in any amount available. Campbell pays its vendors on he last day of the month also. The company had a monthly $40,000 beginning balance in its line of credit liability ccount from this year's quarterly results. Cash Budget Section 1: Cash Receipts 74,000 87,000 29,000 Cequired Prepare a cash budget. (Round intermediate and final answers to the nearest whole dollar amounts. Any epayments/shortage should be indicated with a minus sign.) January February Total cash available Section 2: Cash Payments Total budgeted disbursements Section 3: Financing Activities March
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter8: Budgeting
Section: Chapter Questions
Problem 6PA: Budgeted income statement and balance sheet As a preliminary to requesting budget estimates of...
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