lladium Ltd. is looking to update their cash budget for January to April time period. Based on the information below prepare mpanies cash budget. Palladium Ltd is a new business that anticipates sales of $20,000 in January, with anticipated growth of 5% per month; the sale % credit and 60% cash; all sales terms are net 60 days. COGS is 25% of sales; terms of purchase are 30 days xpenses are 35% of sales; paid in the month they are incurred in March, the company pays $25,000 cash for new equipment The opening cash balance is $5,000 No minimum cash balance is required What recommendations would you provide based on the results of this cash budget

lladium Ltd. is looking to update their cash budget for January to April time period. Based on the information below prepare mpanies cash budget. Palladium Ltd is a new business that anticipates sales of $20,000 in January, with anticipated growth of 5% per month; the sale % credit and 60% cash; all sales terms are net 60 days. COGS is 25% of sales; terms of purchase are 30 days xpenses are 35% of sales; paid in the month they are incurred in March, the company pays $25,000 cash for new equipment The opening cash balance is $5,000 No minimum cash balance is required What recommendations would you provide based on the results of this cash budget

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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