Homework Help is Here – Start Your Trial Now!
Business
Accounting
Exercise 20-21 (Algo) Cash budget LO P2 Foyert Corporation requires a minimum $7,100 cash balance. Loans taken to meet this requirement cost 2% interest per month (paid a the end of each month). Any preliminary cash balance above $7,100 is used to repay loans at month-end. The cash balance on Octob 1 is $7,100, and the company has an outstanding loan of $3,100. Budgeted cash receipts (other than for loans received) and budgeted cash payments (other than for loan or interest payments) follow. Cash receipts Cash payments October $ 23,100 25, 650 November $ 17,100 16,100 December $ 21,100 14,900 Prepare a cash budget for October, November, and December. (Negative balances and Loan repayment amounts (if any) should be Indicated with minus sign. Round your final answers to the nearest whole dollar.) FOYERT CORPORATION

Exercise 20-21 (Algo) Cash budget LO P2 Foyert Corporation requires a minimum $7,100 cash balance. Loans taken to meet this requirement cost 2% interest per month (paid a the end of each month). Any preliminary cash balance above $7,100 is used to repay loans at month-end. The cash balance on Octob 1 is $7,100, and the company has an outstanding loan of $3,100. Budgeted cash receipts (other than for loans received) and budgeted cash payments (other than for loan or interest payments) follow. Cash receipts Cash payments October $ 23,100 25, 650 November $ 17,100 16,100 December $ 21,100 14,900 Prepare a cash budget for October, November, and December. (Negative balances and Loan repayment amounts (if any) should be Indicated with minus sign. Round your final answers to the nearest whole dollar.) FOYERT CORPORATION

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
See similar textbooks
icon
Related questions
Question
Exercise 20-21 (Algo) Cash budget LO P2 Foyert Corporation requires a minimum $7,100 cash balance. Loans taken to meet this requirement cost 2% interest per month (paid at the end of each month). Any preliminary cash balance above $7,100 is used to repay loans at month-end. The cash balance on October 1 is $7,100, and the company has an outstanding loan of $3,100. Budgeted cash receipts (other than for loans received) and budgeted cash payments (other than for loan or interest payments) follow. Cash receipts Cash payments October $ 23,100 25,650 November $ 17,100 16,100 December $ 21,100 14,900 Prepare a cash budget for October, November, and December. (Negative balances and Loan repayment amounts (if any) should be Indicated with minus sign. Round your final answers to the nearest whole dollar.) Beginning cash balance Total cash available Total cash payments Preliminary cash balance Loan activity Ending cash balance Loan balance-Beginning of month Additional loan (loan repayment) Loan balance - End of month FOYERT CORPORATION Cash Budget October November December $ 7.100 Loan balance $ 3,100
Transcribed Image Text:Exercise 20-21 (Algo) Cash budget LO P2 Foyert Corporation requires a minimum $7,100 cash balance. Loans taken to meet this requirement cost 2% interest per month (paid at the end of each month). Any preliminary cash balance above $7,100 is used to repay loans at month-end. The cash balance on October 1 is $7,100, and the company has an outstanding loan of $3,100. Budgeted cash receipts (other than for loans received) and budgeted cash payments (other than for loan or interest payments) follow. Cash receipts Cash payments October $ 23,100 25,650 November $ 17,100 16,100 December $ 21,100 14,900 Prepare a cash budget for October, November, and December. (Negative balances and Loan repayment amounts (if any) should be Indicated with minus sign. Round your final answers to the nearest whole dollar.) Beginning cash balance Total cash available Total cash payments Preliminary cash balance Loan activity Ending cash balance Loan balance-Beginning of month Additional loan (loan repayment) Loan balance - End of month FOYERT CORPORATION Cash Budget October November December $ 7.100 Loan balance $ 3,100
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 3 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS