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
Bad Debts
At the end of the accounting period, a financial statement is prepared by every company, then at that time while preparing the financial statement, the company determines among its total receivable amount how much portion of receivables is collected by the company during that accounting period.
Accounts Receivable
The word “account receivable” means the payment is yet to be made for the work that is already done. Generally, each and every business sells its goods and services either in cash or in credit. So, when the goods are sold on credit account receivable arise which means the company is going to get the payment from its customer to whom the goods are sold on credit. Usually, the credit period may be for a very short period of time and in some rare cases it takes a 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
个
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](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F96a1afaa-7477-4a55-abf2-1afdfe5b00ce%2Fa8aa7dbf-1a15-4936-92f9-c926e70bdb0e%2F3ggmv6_processed.jpeg&w=3840&q=75)
![a. Only whole numbers are to be entered as answers. Therefore, DO NOT put any signs in such as $, %, #, or a comma etc. In
your answer. For example, if your answer is $1234 you should write 1234 as your answer and if your answer is 4%, write 4 as
your answer.
b. Indicate a negative number by putting a minus sign in front. Therefore, if your answer is negative 1234 you need to post -1234
as 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 its
budgeted cash flows:
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](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F96a1afaa-7477-4a55-abf2-1afdfe5b00ce%2Fa8aa7dbf-1a15-4936-92f9-c926e70bdb0e%2Flqx8fyg_processed.jpeg&w=3840&q=75)
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