A cash budget, by quarters, is given below for a retail company (000 omitted). The company requires a minimum cash balance of at least $4,000 to start each quarter. Fill in the missing amounts. Note: 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 (000 omitted) Year Cash balance, beginning $ 7 Add collections from customers 109 392 Total cash available 89 Less disbursements: Purchase of inventory 48 58 32 Selling and administrative expenses 45 30 127 Equipment purchases 11 9 23 53 Dividends 2 2 2 2 Total disbursements Excess (deficiency) of cash available over 114 (2) 7 disbursements Financing: Borrowings Repayments (including interest) * Total financing Cash balance, ending "Interest will total $1,000 for the year. 18 (22)

A cash budget, by quarters, is given below for a retail company (000 omitted). The company requires a minimum cash balance of at least $4,000 to start each quarter. Fill in the missing amounts. Note: 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 (000 omitted) Year Cash balance, beginning $ 7 Add collections from customers 109 392 Total cash available 89 Less disbursements: Purchase of inventory 48 58 32 Selling and administrative expenses 45 30 127 Equipment purchases 11 9 23 53 Dividends 2 2 2 2 Total disbursements Excess (deficiency) of cash available over 114 (2) 7 disbursements Financing: Borrowings Repayments (including interest) * Total financing Cash balance, ending "Interest will total $1,000 for the year. 18 (22)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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