1st Quarter2nd Quarter3rd Quarter4th QuarterTotal cash receipts$190,000 $340,000 $220,000 $240,000Total cash disbursements$267,000 $237,000 $227,000 $257,000The company's beginning cash balance for the upcoming fiscal year will be $25,000. The company requires a minimum cash balance of$10,000 and may borrow any amount needed from a local bank at a quarterly interest rate of 3%. The company may borrow any amount atthe beginning of any quarter and may repay its loans, or any part of its loans, at the end of any quarter. Interest payments are due on anyprincipal at the time it is repaid. For simplicity, assume that interest is not compounded.Required:Prepare the company's cash budget for the upcoming fiscal year and answer the following questions个1. How much is the ending cash balance in the 1stquarter2. How much is the Interest paid in the in 2ndquarter. Note: Do not use a negative sign for the interest.3. What is the Ending Cash Balance in the 4thquarter4. What is the beginning Cash Balance for the year5. What is the total financing for the year a. Only whole numbers are to be entered as answers. Therefore, DO NOT put any signs in such as $, %, #, or a comma etc. Inyour answer. For example, if your answer is $1234 you should write 1234 as your answer and if your answer is 4%, write 4 asyour answer.b. Indicate a negative number by putting a minus sign in front. Therefore, if your answer is negative 1234 you need to post -1234as your answer.c. Round your answer to the nearest whole number, i.e. no decimal points. So if your answer is 1234.60 you should write 1235.Garden Depot is a retailer that is preparing its budget for the upcoming fiscal year. Management has prepared the following summary of itsbudgeted cash flows:1st Quarter2nd Quarter3rd Quarter4th QuarterTotal cash receipts$190,000 $340,000 $220,000 $240,000Total cash disbursements$267,000 $237,000 $227,000 $257,000The company's beginning cash balance for the upcoming fiscal year will be $25,000. The company requires a minimum cash balance of$10,000 and may borrow any amount needed from a local bank at a quarterly interest rate of 3%. The company may borrow any amount atthe beginning of any quarter and may repay its loans, or any part of its loans, at the end of any quarter. Interest payments are due on anyprincipal at the time it is repaid. For simplicity, assume that interest is not compounded.Required:Prepare the company's cash budget for the upcoming fiscal year and answer the following questions

Budgeting - Budgeting is the process of estimating future operations based on past performance. %…

1st Quarter2nd Quarter3rd Quarter4th Quarter Total cash receipts $190,000 $340,000 $220,000 $240,000 Total cash disbursements$267,000 $237,000 $227,000 $257,000 The company's beginning cash balance for the upcoming fiscal year will be $25,000. The company requires a minimum cash balance of $10,000 and may borrow any amount needed from a local bank at a quarterly interest rate of 3%. The company may borrow any amount at the beginning of any quarter and may repay its loans, or any part of its loans, at the end of any quarter. Interest payments are due on any principal at the time it is repaid. For simplicity, assume that interest is not compounded. Required: Prepare the company's cash budget for the upcoming fiscal year and answer the following questions 1. How much is the ending cash balance in the 1st quarter 2. How much is the Interest paid in the in | 2nd quarter. Note: Do not use a negative sign for the interest. 3. What is the Ending Cash Balance in the 4th quarter 4. What is the beginning Cash Balance for the year 5. What is the total financing for the year

1st Quarter2nd Quarter3rd Quarter4th Quarter Total cash receipts $190,000 $340,000 $220,000 $240,000 Total cash disbursements$267,000 $237,000 $227,000 $257,000 The company's beginning cash balance for the upcoming fiscal year will be $25,000. The company requires a minimum cash balance of $10,000 and may borrow any amount needed from a local bank at a quarterly interest rate of 3%. The company may borrow any amount at the beginning of any quarter and may repay its loans, or any part of its loans, at the end of any quarter. Interest payments are due on any principal at the time it is repaid. For simplicity, assume that interest is not compounded. Required: Prepare the company's cash budget for the upcoming fiscal year and answer the following questions 1. How much is the ending cash balance in the 1st quarter 2. How much is the Interest paid in the in | 2nd quarter. Note: Do not use a negative sign for the interest. 3. What is the Ending Cash Balance in the 4th quarter 4. What is the beginning Cash Balance for the year 5. What is the total financing for the year

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Number of Cash Flows On July 1, 2019, Boston Company purchased a machine at a cost of $80,000. It paid $56,046.06 in cash and signed a 10% note for the difference. This note is to be paid off in annual installments of $5,000 each, payable each July 1, beginning immediately. The $5,000 includes a payment of interest on the balance of the principal at the beginning of each period and a payment on the principal. Calculate the number of annual payments to be made by Boston.
Current Attempt in Progress Skysong Corporation factors $252,500 of accounts receivable with Kathleen Battle Financing, Inc. on a with recourse basis. Kathleen Battle Financing will collect the receivables. The receivables records are transferred to Kathleen Battle Financing on August 15, 2020. Kathleen Battle Financing assesses a finance charge of 2% of the amount of accounts receivable and also reserves an amount equal to 4% of accounts receivable to cover probable adjustments. (b) Assume that the conditions are met fora transfer of receivables with recourse to be accounted for as a sale. Prepare the journal entry on August 15, 2020, for Skysong to record the sale of receivables, assuming the recourse obligation has a fair value of $4,390. (If no entry is requlred, select "No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically Indented when the amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit…
The working capital of BT21 Co. on December 31, 2021 are presented below:· Cash on hand – 200,000· Cash in bank – 108,000· Notes receivable – 250,000· Trade receivable – 600,000· Inventory – 650,000· Prepaid expenses – 45,000· Trade payables – 325,000· Notes payable (due annually at 500,000 payable every March 31) – 1,000,000· Accrued expenses – 40,000How much total current liabilities should BT21 Co. present in its statement of financial position on December 31, 2021?
During 2021, its first year of operations, Pave Construction provides services on account of $160,000. By the end of 2021, cash collections on these accounts total $110,000. Pave estimates that 25% of the uncollected accounts will be uncollectible. In 2022, the company writes off uncollectible accounts of $10,000.Required:1. Record the adjustment for uncollectible accounts on December 31, 2021.2. Record the write-off of accounts receivable in 2022 and calculate the balance of Allowance for Uncollectible Accounts at the end of 2022 (before adjustment in 2022).3. Assume the same facts as above but assume actual write-offs in 2022 were $15,000. Record the write-off of accounts receivable in 2022 and calculate the balance of Allowance for Uncollectible Accounts at the end of 2022 (before adjustment in 2022).
The following is a December 31, 2024, post-closing trial balance for Almway Corporation. Account Title Cash Investment in equity securities Accounts receivable Inventory Prepaid insurance (for the next 9 months) Land Buildings Accumulated depreciation-buildings Equipment Accumulated depreciation-equipment Patent (net) Accounts payable Notes payable Interest payable Bonds Payable Common stock Retained earnings Totals Debits $ 47,000 112,000 61,000 201,000 8,000 92,000 421,000 111,000 11,000 $ 1,064,000 Credits $ 101,000 61,000 77,000 133,000 21,000 241,000 303,000 127,000 $ 1,064,000 Additional information: 1. The investment in equity securities account includes an investment in common stock of another corporation of $31,000 which management intends to hold for at least three years. The balance of these investments is intended to be sold in the coming year. 2. The land account includes land which cost $26,000 that the company has not used and is currently listed for sale. 3. The cash…
ht nces Specter Company combines cash and cash equivalents on the balance sheet. Using the following information, determine the amount reported on the year-end balance sheet for cash and cash equivalents. . . . . $5,000 cash deposit in checking account. $24,000 bond investment due in 20 years. $6,000 U.S. Treasury bill due in 1 month. $300, 3-year loan to an employee. $1,400 of currency and coins. $600 of accounts receivable. Checking account Bond investment U.S. Treasury bill Loan to an employee Currency and coins Accounts receivable Amount Total Cash and cash equivalents 5,000 24,000 6,000 300 1,400 600 Included in Cash and Cash Equivalents? Cash and Cash Equivalents Amount $ $ 0 0 0 0 0 0 0
The Morning Jolt Coffee Company has projected the following quarterly sales amounts for the coming year: QI $ 210 Sales 02 $ 270 Beginning receivables Sales Cash collections Ending receivables Q3 $ 330 a. Accounts receivable at the beginning of the year are $480. The company has a 45-day collection period. Calculate cash collections in each of the four quarters by completing the following: Note: Do not round intermediate calculations and round your answers to the nearest whole number, e.g., 32. Beginning receivables Sales Cash collections Ending receivables Q1 210 Q1 04 $480 210 Q2 Q2 270 b. Accounts receivable at the beginning of the year are $480. The company has a 60-day collection period. Calculate cash collections in each of the four quarters by completing the following: Note: Do not round intermediate calculations and round your answers to the nearest whole number, e.g., 32. 270 Q3 Q3 330 330 Drair Q4 Q4 480 480 21.10 H
Current Attempt in Progress C.S. Cullumber Company had the following transactions involving notes payable. July 1, 2025 Nov. 1, 2025 Dec. 31, 2025 Feb. 1. 2026 Apr. 1, 2026 Borrows $106,950 from First National Bank by signing a 9-month, 8% note. Borrows $110,000 from Lyon County State Bank by signing a 3-month, 6% note. Prepares adjusting entries. Pays principal and interest to Lyon County State Bank. Pays principal and interest to First National Bank. Prepare journal entries for each of the transactions. (List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Record journal entries in the order presented in the problem.)
National Food Services, Inc., borrowed $4 million from its local bank on January 1, 2018, and issued a 4-yearinstallment note to be paid in four equal payments at the end of each year. The payments include interest at the rateof 10%. Installment payments are $1,261,881 annually.Required:What would be the amount(s) related to the note that National would report in its statement of cash flows for theyear ended December 31, 2018?
A company has the following excess (deficiency) of cash receipts over cash disbursements projected for the next year on a quarterly basis. It will not have any cash at the start of the year. The quarterly interest rte is 2%, and any borrowing and repayment of principal must be in round $1,000 amounts. There is no cash reserve requirement Assume loan related payments are made when excess cash is available. Quarter 1 2 3 4 Year Excess (deficiency) of cash available for disbursements ($121,140) ($41,680) $177,680 $2,160 $17,020 Required: Prepare a cash budge by quarter for the year. What is the ending cash balance in the fourth quarter if interest is accrued until the end of the fourth quarter and paid at that time along with the total principal borrowed? Please provide detail calculations of how you got the cash available at the beginning. Thank you.
Inc. maintains a cash buffer for unexpected cash outlays for the year amounting to 3,000. Bank of Wildcats charges Inc P15 for every transaction with the bank. The bank grants 5% annual interest. Inc is contemplation if it will still need to have the cash buffer. How much is the annual savings in annual holding cost of cash for Inc if it will not have a cash buffer?
The following is a December 31, 2021, post-closing trial balance for Almway Corporation. Account Title Debits Credits $ 67,000 132,000 71,000 211,000 Cash Investment in equity securities Accounts receivable Inventory Prepaid insurance (for the next 9 months) 9,000 Land 112,000 Buildings Accumulated depreciation-buildings Equipment Accumulated depreciation-equipment Patent (net) Accounts payable Notes payable Interest payable Bonds Payable 431,000 $ 111,000 121,000 71,000 21,000 97,000 163,000 31,000 251,000 333,000 118,000 $1,175,000 $1,175,000 Common stock Retained earnings Totals Additional information: 1. The investment in equity securities account includes an investment in common stock of another corporation of $41,000 which management intends to hold for at least three years. The balance of these investments is intended to be sold in the coming year. 2. The land account includes land which cost $36,000 that the company has not used and is currently listed for sale. 3. The cash…