Nana Kay company must maintain a minimum cash balance of ghc 25000. At the beginning June, the company's cash balance was ghc 17000. Budgeted cash receipts for June are ghc 150000 and budgeted cash disbursement are ghc 201000. Budgeted net income for July totals ghc 11,000. How much will Nana Kay company need to borrow by the end of June?
Master Budget
A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.
Sales Budget and Selling
A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.
Nana Kay company must maintain a minimum cash balance of ghc 25000. At the beginning June, the company's cash balance was ghc 17000. Budgeted cash receipts for June are ghc 150000 and budgeted cash disbursement are ghc 201000. Budgeted net income for July totals ghc 11,000. How much will Nana Kay company need to borrow by the end of June?
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