Cal cash receipts 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter $ 420,000 $ 300,000 $ 320,000 $ 293,000 $ 283,000 $ 303,000 Cal cash disbursements $ 270,000 $ 323,000 company's beginning cash balance for the upcoming fiscal year will be $38,000. The company requir 0,000 and may borrow any amount needed from a local bank at a quarterly interest rate of 3%. The c unt at the beginning of any quarter and may repay its loans, or any part of its loans, at the end of any lue on any principal at the time it is repaid. For simplicity, assume that interest is not compounded. ired:
Cal cash receipts 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter $ 420,000 $ 300,000 $ 320,000 $ 293,000 $ 283,000 $ 303,000 Cal cash disbursements $ 270,000 $ 323,000 company's beginning cash balance for the upcoming fiscal year will be $38,000. The company requir 0,000 and may borrow any amount needed from a local bank at a quarterly interest rate of 3%. The c unt at the beginning of any quarter and may repay its loans, or any part of its loans, at the end of any lue on any principal at the time it is repaid. For simplicity, assume that interest is not compounded. ired:
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter8: Budgeting
Section: Chapter Questions
Problem 18E
Related questions
Question
Urmila ben
![1st Quarter 2nd Quarter 3rd Quarter 4th Quarter
Total cash receipts
$ 270,000
$ 420,000
$ 300,000
Total cash disbursements
$ 323,000 $ 293,000
$ 283,000
$ 320,000
$ 303,000
The company's beginning cash balance for the upcoming fiscal year will be $38,000. 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. (Repayments, and interest, should be indicated by a minus sign.)
Garden Depot
Cash Budget
1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Year
Beginning cash balance
Total cash receipts
Total cash available
Total cash disbursements
Excess of cash available over disbursements
Financing:
Borrowings
Repayments
Interest
0
0
0
0
0
0
0
0
Total financing
0
0
0
0
Ending cash balance
$
0 $
0 $
0 $
0](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F5d2c97c4-62dc-4795-a702-baeab291c1b9%2Ffaddfeb9-7b3a-4683-b6d7-4e5fb6fb7ea7%2Foajv1gp_processed.jpeg&w=3840&q=75)
Transcribed Image Text:1st Quarter 2nd Quarter 3rd Quarter 4th Quarter
Total cash receipts
$ 270,000
$ 420,000
$ 300,000
Total cash disbursements
$ 323,000 $ 293,000
$ 283,000
$ 320,000
$ 303,000
The company's beginning cash balance for the upcoming fiscal year will be $38,000. 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. (Repayments, and interest, should be indicated by a minus sign.)
Garden Depot
Cash Budget
1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Year
Beginning cash balance
Total cash receipts
Total cash available
Total cash disbursements
Excess of cash available over disbursements
Financing:
Borrowings
Repayments
Interest
0
0
0
0
0
0
0
0
Total financing
0
0
0
0
Ending cash balance
$
0 $
0 $
0 $
0
Expert Solution
![](/static/compass_v2/shared-icons/check-mark.png)
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 3 steps
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
![Managerial Accounting](https://www.bartleby.com/isbn_cover_images/9781337912020/9781337912020_smallCoverImage.jpg)
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
![Managerial Accounting](https://www.bartleby.com/isbn_cover_images/9781337912020/9781337912020_smallCoverImage.jpg)
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub