Cash flows It is typical for Jane to plan, monitor, and assess her financial position using cash flows over a given period, typically a month. Jane has a savings account and her bank loans money at 6% per year while it offers short-term investment rates of 5%. Jane's cash flows during August were as follows: a. Determine Jane's total cash inflows and cash outflows. b. Determine the net cash flow for the month of August. c. If there is a shortage, what are a few options open to Jane? d. If there is a surplus, what would be a prudent strategy for her to follow? Data table (Click the icon here in order to copy the contents of the data table below into a spreadsheet.) × Item Clothes Cash inflow Cash outflow $1,100 Interest received $430 Dining out $510 Groceries $780 Salary $4,500 Auto payment $333 Utilities $290 $1,130 Mortgage $211 Gas Clear all Check answ
Cash flows It is typical for Jane to plan, monitor, and assess her financial position using cash flows over a given period, typically a month. Jane has a savings account and her bank loans money at 6% per year while it offers short-term investment rates of 5%. Jane's cash flows during August were as follows: a. Determine Jane's total cash inflows and cash outflows. b. Determine the net cash flow for the month of August. c. If there is a shortage, what are a few options open to Jane? d. If there is a surplus, what would be a prudent strategy for her to follow? Data table (Click the icon here in order to copy the contents of the data table below into a spreadsheet.) × Item Clothes Cash inflow Cash outflow $1,100 Interest received $430 Dining out $510 Groceries $780 Salary $4,500 Auto payment $333 Utilities $290 $1,130 Mortgage $211 Gas Clear all Check answ
Chapter6: Managing Cash Flow
Section: Chapter Questions
Problem 4DQ
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Transcribed Image Text:Cash flows It is typical for Jane to plan, monitor, and assess her financial position using cash flows over a given period, typically a month. Jane has a savings
account and her bank loans money at 6% per year while it offers short-term investment rates of 5%. Jane's cash flows during August were as follows:
a. Determine Jane's total cash inflows and cash outflows.
b. Determine the net cash flow for the month of August.
c. If there is a shortage, what are a few options open to Jane?
d. If there is a surplus, what would be a prudent strategy for her to follow?
Data table
(Click the icon here in order to copy the contents of the data table below into
a spreadsheet.)
×
Item
Clothes
Cash inflow
Cash outflow
$1,100
Interest received
$430
Dining out
$510
Groceries
$780
Salary
$4,500
Auto payment
$333
Utilities
$290
$1,130
Mortgage
$211
Gas
Clear all
Check answ
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