A cash budget, by quarters, is given below for a retail company (000 omitted). The...
50.1K
Verified Solution
Link Copied!
Question
Accounting
A cash budget, by quarters, is given below for a retail company (000 omitted). The company requires a minimum cash balance of at least $8,000 to start each quarter. Fill in the missing amounts. (Enter your answers in thousands of dollars. Cash deficiencies and Repayments should be indicated by a minus sign.)
Quarter (000 omitted)
1
2
3
4
Year
Cash balance, beginning
$9
$8
$8
$8
$9
Add collections from customers
61
84
103
99
347
Total cash available
70
92
111
107
356
Less disbursements:
-
-
-
-
-
Purchase of inventory
42
52
48
34
?
Selling and administrative expenses
20
32
30
?
103
Equipment purchases
14
8
17
?
49
Dividends
2
2
2
2
8
Total disbursements
78
94
97
?
?
Excess (deficiency) of cash available over disbursements
(8)
(2)
14
?
?
Financing:
Borrowings
?
10
?
?
?
Repayments (including interest) *
?
?
?
(21)
?
Total financing
?
?
?
?
?
Cash balance, ending
?
?
?
?
?
*Interest will total $1,000 for the year.
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
