The accountant for Jean’s Dress Shop prepared the following cash budget. Jean’s desires to maintain a cash cushion of $10,000 at the end of each month. Funds are assumed to be borrowed and repaid on the last day of each month. Interest is charged at the rate of 1 percent per month. RequiredComplete the cash budget by filling in the missing amounts.Determine the amount of net cash flows from operating activities Jean’s will report on the third quarter pro forma statement of cash flows.Determine the amount of net cash flows from financing activities Jean’s will report on the third quarter pro forma statement of cash flows. The accountant for Jean's Dress Shop prepared the following cash budget. Jean's desires to maintain a cash cushion of $10,000 at theend of each month. Funds are assumed to be borrowed and repaid on the last day of each month. Interest is charged at the rate of 1percent per month.Requireda. Complete the cash budget by filling in the missing amounts.b. Determine the amount of net cash flows from operating activities Jean's will report on the third quarter pro forma statement of cashflows.c. Determine the amount of net cash flows from financing activities Jean's will report on the third quarter pro forma statement of cashflows.Complete this question by entering your answers in the tabs below.Req AReq B and CDetermine the amount of net cash flows from both operating and financing activities Jean's will report on the third quarter proforma statement of cash flows. (Round intermediate calculations and final answers to the nearest whole dollar amount.)Net cash (operating activities)Net cash (financing activities) flows.c. Determine the amount of net cash flows from financing activities Jean's will report on the third quarter pro forma statement of cashflows.Complete this question by entering your answers in the tabs below.Req AReq B and CComplete the cash budget by filling in the missing amounts. (Any shortages or repayments should be indicated with a minussign. Round your answers to the nearest whole dollar amount.)Cash BudgetJulyAugustSeptemberSection 1: Cash receiptsBeginning cash balance$25,000 $25,250Add cash receipts90,000100,000120,300Total cash available115,000Section 2: Cash paymentsFor inventory purchases82,75070,11587,076For S&A expenses27,25030,28030,716For interest expenseTotal budgeted disbursements110,000Section 3: Financing activitiesSurplus (shortage)5,000Borrowing (repayments)5,000Ending cash balance10,000 $0 $

A) Cash Budget July August September Total Selection 1: Cash receipts Beginning…

Answered: h month. Interest is charged at the…

Financial Management: Theory & Practice

16th Edition

ISBN:9781337909730

Author:Brigham

Publisher:Brigham

Chapter16: Supply Chains And Working Capital Management

Section: Chapter Questions

Problem 16MC: In an attempt to better understand RR’s cash position, Johnson developed a cash budget for the first...

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The accountant for Jean’s Dress Shop prepared the following cash budget. Jean’s desires to maintain a cash cushion of $10,000 at the end of each month. Funds are assumed to be borrowed and repaid on the last day of each month. Interest is charged at the rate of 1 percent per month.

Required

Complete the cash budget by filling in the missing amounts.
Determine the amount of net cash flows from operating activities Jean’s will report on the third quarter pro forma statement of cash flows.
Determine the amount of net cash flows from financing activities Jean’s will report on the third quarter pro forma statement of cash flows.

The accountant for Jean's Dress Shop prepared the following cash budget. Jean's desires to maintain a cash cushion of $10,000 at the
end of each month. Funds are assumed to be borrowed and repaid on the last day of each month. Interest is charged at the rate of 1
percent per month.
Required
a. Complete the cash budget by filling in the missing amounts.
b. Determine the amount of net cash flows from operating activities Jean's will report on the third quarter pro forma statement of cash
flows.
c. Determine the amount of net cash flows from financing activities Jean's will report on the third quarter pro forma statement of cash
flows.
Complete this question by entering your answers in the tabs below.
Req A
Req B and C
Determine the amount of net cash flows from both operating and financing activities Jean's will report on the third quarter pro
forma statement of cash flows. (Round intermediate calculations and final answers to the nearest whole dollar amount.)
Net cash (operating activities)
Net cash (financing activities)

flows.
c. Determine the amount of net cash flows from financing activities Jean's will report on the third quarter pro forma statement of cash
flows.
Complete this question by entering your answers in the tabs below.
Req A
Req B and C
Complete the cash budget by filling in the missing amounts. (Any shortages or repayments should be indicated with a minus
sign. Round your answers to the nearest whole dollar amount.)
Cash Budget
July
August
September
Section 1: Cash receipts
Beginning cash balance
$
25,000 $
25,250
Add cash receipts
90,000
100,000
120,300
Total cash available
115,000
Section 2: Cash payments
For inventory purchases
82,750
70,115
87,076
For S&A expenses
27,250
30,280
30,716
For interest expense
Total budgeted disbursements
110,000
Section 3: Financing activities
Surplus (shortage)
5,000
Borrowing (repayments)
5,000
Ending cash balance
10,000 $
0 $

Definition Definition Estimate of an organization's cash flow for a future period. A cash budget forecasts future cash receipts and payments from various sources for a fiscal year. A cash budget can be created once a month or once a week to determine the organization's cash position and ensure its performance in relation to the budget. It aids in determining whether the company has enough cash and cash equivalents to meet its operational needs in the future.

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