The "Cash Budget" a)is used to predict future surpluses & shortages of cash, allowing the organization to plan ahead for such occurrences b)differs from the Master Budget due to the accrual concept c)uses the Master & Capital budgets for input d)all of the listed answers are correct

The "Cash Budget" a)is used to predict future surpluses & shortages of cash, allowing the organization to plan ahead for such occurrences b)differs from the Master Budget due to the accrual concept c)uses the Master & Capital budgets for input d)all of the listed answers are correct

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter7: Budgeting

Section: Chapter Questions

Problem 16MC: Which of the following includes only financial budgets? capital asset budget, budgeted income...

See similar textbooks

Related questions

Q: Need Help with this Question

A: 1. Determine the equivalent units of production for June for the Mixing Department. Equivalent units…

Q: Antoine Machining estimated its manufacturing overhead to be $282,720 and its direct materials costs…

A: Step 1:Computation of underapplied or overapplied overhead: . It is overapplied since the applied…

Q: Which of the following costs is relevant for decision-making? A. Sunk cost B. Fixed cost C.…

Q: Solve this problem

A: To use the high/low cost estimation method to determine the expected maintenance cost if 12,000…

Q: Assume RIOO 000 direct material was issued to the company. Direct labourpaid amounted to R30 000,…

A: The first step is to calculate the total manufacturing costs. This includes the direct materials,…

Q: QUESTION: 23 Alaskan Fisheries, Inc., processes salmon for various distributors and it uses the…

Q: Allerton Company acquires all of Deluxe Company's assets and liabilities for cash on January 1,…

A: Step 1:Calculation of the FV of the net assets received: Step 2:Computation of the goodwill or…

Q: A firm's good reputation for quality customer service is categorized as its what? Goodwill may be…

A: Question 1.Good Reputation for Quality Customer ServiceA firm's good reputation for quality customer…

Q: You are the audit manager in charge of the audit of Caro Ltd. The company's year-end is 31 December,…

A: 1. Understanding the Entity and its EnvironmentIndustry Growth: The energy industry has seen…

Q: The following CVP income statements are available for Wildhorse Corp. and Blossom, Inc. Wildhorse…

A: Step 1: Identify the formula for Degrees of Operating LeverageDegrees of Operating Leverage =…

Q: None

A: Step 1:Step 2: Step 3: Step 4:

Q: None

A: Let's analyze each part of the question regarding Blue Ridge (Pty) Ltd and VAT implications: 2.1…

Q: A manufacturing company applies overhead based on direct labor hours. At the beginning of the year,…

A: Step 1: Definition of Overapplied or Underapplied Overhead:The overapplied or underapplied overhead…

Q: correct answer

A: Step 1: Calculate Equivalent Units for MaterialsCompleted and transferred units are 100% complete…

Q: None

A: To determine the real raise, follow these steps:1. **Calculate the raise amount**: - Initial…

Q: Alisha Incorporated manufactures medical stents for use in heart bypass surgery. Based on past…

Q: Andre’s Hair Styling in Jamaica has five barbers. Each barber is paid $9.90 per hour and works 40…

A: The contribution margin per haircut is calculated by subtracting the variable cost per unit from the…

Q: Need Help

A: Sure, The accounting equation is a fundamental principle in accounting that states that a company's…

Q: A certificate of deposit (CD) is similar to a savings account, but deposits are generally held to…

A: To determine how much will be in the account at the end of 3 years with a $500 deposit in a CD with…

Q: Mc Graw Hill Chrome Tab Profies Bookmarks File Edit View History Question 8-Proctoring: @x Window…

A: The correct answer is: C) A debit to cash and a credit to common stock When a company sells stock to…

Q: Additional information 1. Operating expenses include depreciation expense of R34 000 and…

A: The cash flows from operating activities include the cash received and paid in the course of the…

Q: provide answer

A: Which of these is an example of corrective maintenance? Corrective maintenance refers to the…

Q: Down Under Products' sales budget for the next four months is as follows: April May June July Unit…

A: Step 1Given informationStep 2Step 3 : Step 4

Q: Need Answer please provide Solutions

A: Ethics risk and opportunity management (EROM) expands the scope of traditional risk management by…

Q: Solve it

A: For the context...Sam wants to buy land from Kiara for $980,000.Kiara's basis (original value) in…

Q: Google Chrome File Edit View History Inbox (228)- X MACC101 Princ × Bookmarks Profiles Tab Window…

A: Step 3: General Ledger Accounts (in Table Format)CashDateDescriptionDebitCreditBalanceBeginning…

Q: Answer

Q: Tivoli Instrumentation sold a depreciable asset for cash of $100,000. The original cost of the asset…

Q: None

A: Step 1: Definition of Net Profit Margin:The net profit margin is one of the profitability ratios…

Q: Need Answer please provide Solutions

A: Detailed explanation:1. Factory Overhead Rate = budgeted factory overhead / budgeted direct labor…

Q: help please answer in text form with proper workings and explanation for each and every part and…

A: Inventory Valuation Methods:These are accounting techniques companies use to determine the value of…

Q: need answer of this question

A: Step 1:Step 2:Step 3:

Q: None

A: For the salary allowances, we simply copy the given as per the partners' agreement. We deduct the…

Q: Get answer

A: Step 1:Lease receivable is total of present value of rental payments and present value of guaranteed…

Q: The Singhs have purchased a S550, 000 home with a 20 - year, S400, 000 mortgage. Their mortgage rate…

A: Here's a detailed calculation for better understanding. Calculate the loan-to-value (LTV)…

Q: On June 1, MVP Sportswear prepaid six months of rent, $3,660. Which is the adjusting entry required…

A: First, we need to calculate the monthly rent expense. MVP Sportswear prepaid six months of rent,…

Q: Effects of qualifying as a business on asset acquisitions Assume that on January 1, 2016 an investor…

A: Scenario A: Net Assets Do Not Qualify as a BusinessDescriptionDebit ($)Credit ($)Production…

Q: Blossom Skydiving Co. is owned by Nick and Amber. Business has been booming, as baby boomers want to…

A: Calculate the annual depreciation:Initial Cost = $200,000Salvage Value = $73,000Useful Life = 10…

Q: The aging of accounts receivable shows the following data: 0-60 days due: balance is $74,500 with a…

A: First, we need to calculate the estimated uncollectible amount for each category of accounts…

Q: None

A: The Operating ROA or Return on Assets pertains to the ratio of operating income to assets. It…

Q: None

A: Step 1: a.1 Differential analysis dated December 10 to determine whether to continue with (…

Q: Which financial statement shows a company's financial position at a specific point in time? a)…

A: The question is asking us to identify which financial statement provides a snapshot of a company's…

Q: A retailing company has two departments—Hardware and Linens. The company’s most recent monthly…

A: Let's start by computing the operating results if Linens department is dropped. It says "the…

Q: None

A: Variable cost per mile = (Y2-Y1)/(X2-X1)where:Y2 = cost at highest level of activity = 31,600Y1 =…

Q: need answer please provide it

Q: Millstone Public House averages sales of $6 per guest when serving 20,000 guests. The restaurant's…

A: Step 1: Step 2:

Q: Provide this one with Correct option

A: under the cash basis accounting, cash is received or paid first before a revenue or expense is…

Q: ome Edit File View History Bookmarks Profiles Tab Window Help MInbox (2 x MACC101 x (4726) X Account…

A: Sales journal - records the sale of inventory and merchandisePurchases journal - records the…

Q: At the beginning of the current period, Sunland company had balances in accounts receivables of…

A: Approach to solving the question: For better clarity of the solution, I have provided the…

Q: A shirt manufacturing company expects to be able to sell 15,000 shirts in April 2022. Sales volumes…

A: Given Information:Expected sales for April 2022: 15,000 shirts.Sales grow at 5% per month…

Question

The "Cash Budget"

a)is used to predict future surpluses & shortages of cash, allowing the organization to plan ahead for such occurrences

b)differs from the Master Budget due to the accrual concept

c)uses the Master & Capital budgets for input

d)all of the listed answers are correct

Definition Definition Estimate of an organization's cash flow for a future period. A cash budget forecasts future cash receipts and payments from various sources for a fiscal year. A cash budget can be created once a month or once a week to determine the organization's cash position and ensure its performance in relation to the budget. It aids in determining whether the company has enough cash and cash equivalents to meet its operational needs in the future.

AI-Generated Solution

AI-generated content may present inaccurate or offensive content that does not represent bartleby’s views.

Unlock instant AI solutions

Tap the button
to generate a solution

Click the button to generate
a solution

SEE SOLUTION

Similar questions

Which of the following includes only financial budgets? capital asset budget, budgeted income statement, sales budget production budget, capital asset budget, budgeted balance sheet cash budget, budgeted balance sheet, capital asset budget budgeted income statement, direct material purchases budget, cash budget
Which budget evaluates the results of operations at the actual level of activity? capĂtal budget cash budget flexible budget static budget
Item 1 Which of the following is a budget used to project cash flow and likely cash shortfalls and/or surpluses? Multiple Choice Financing budget Master budget Rolling budget Operational budget Capital budget
the major purpose of which of the following is to prepare an accurate estimate of future cash flows? A. Operating budget B. Cash budget C. Capital budget D. Executive budget
The capital expenditures budget is derived from the Operating budget and the financing budgets? True False
Which of the following is a use of budgets for control? *A. plans can be made for the futureB. communication is improvedC. if conditions change between the formation of the budget and the current time, budgets can be quickly adaptedD. budgets set a standard against which results can be compared
BY providing appropriate examples, explain the main advantages of identifying cash surpluses and deficits in a cash budget.?
Explain how cash flows are esrimated for captial budgeting. What are sunk costs and opportunity costs, and how should they be handled in identifying the projects relevant cash flows?
1. What is the importance of a cash flow budget or report?
The objectives of budgeting are to:a. Establish specific goals for future operations b. Execute plans to achieve the goalsc. Measure performance by periodic comparison of actual with budgeted results d. All of the above
A plan that shows the cash balance on hand at the beginning of a budget period, expected cash flow from operations, cash flows from investing activities, cash flows from financing activities, and an ending cash balance is called a(n): Financial budget. Cash budget. Capital budget. Operating budget. Cash receipts budget.
The budgeted balance sheet is part of which element of the master budget? a. Financial budget b. Operating budget c. Capital expenditures budget d. None of the above