Accounting for Governmental & Nonprofit Entities
17th Edition
ISBN: 9780078025822
Author: Jacqueline L. Reck James E. Rooks Distinguished Professor, Suzanne Lowensohn, Earl R Wilson
Publisher: McGraw-Hill Education
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Question
Chapter 11, Problem 17C
a.
To determine
Indicate the sources for the guidance available to establish an audit committee by the city and operate it efficiently and effectively.
b.
To determine
List the advantages and costs associated with the setting up of audit committee, explain the qualifications of the council members of the committee, and their tasks.
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General Account
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es
Total cash receipts
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1st Quarter
$ 320,000
$ 372,000
2nd Quarter
$ 440,000
$ 342,000
3rd Quarter
$ 370,000
4th Quarter
$ 390,000
$ 332,000
$ 352,000
The company's beginning cash balance for next year will be $27,000. The company requires a minimum cash balance of $10,000 and
may borrow money at the beginning of any quarter and may repay any part of its loans at the end of any quarter. Interest payments,
based on a quarterly interest rate of 3%, are due on any principal at the time it is repaid. For simplicity, assume interest is not
compounded.
Required:
Prepare the company's cash budget for next year.
Note: Repayments, interest, and cash deficiencies should be indicated by a minus sign.
Beginning cash balance
Total cash receipts
Total cash available
Total cash disbursements
Excess (deficiency) of cash available over disbursements
Financing:
Borrowings
Repayments
Interest
Total financing
Ending cash balance
L
Garden Depot
Cash Budget
1st Quarter
2nd Quarter…
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Chapter 11 Solutions
Accounting for Governmental & Nonprofit Entities
Ch. 11 - Prob. 1QCh. 11 - Prob. 2QCh. 11 - Prob. 3QCh. 11 - Prob. 4QCh. 11 - Prob. 5QCh. 11 - Prob. 6QCh. 11 - Prob. 7QCh. 11 - Prob. 8QCh. 11 - Prob. 9QCh. 11 - Prob. 10Q
Ch. 11 - Background. Lake View Mental Health Affiliates, a...Ch. 11 - Prob. 12CCh. 11 - Prob. 13CCh. 11 - Prob. 14CCh. 11 - Prob. 15CCh. 11 - Prob. 16CCh. 11 - Prob. 17CCh. 11 - Prob. 19.1EPCh. 11 - Prob. 19.2EPCh. 11 - Prob. 19.3EPCh. 11 - Prob. 19.4EPCh. 11 - Prob. 19.5EPCh. 11 - Prob. 19.6EPCh. 11 - Prob. 19.7EPCh. 11 - Prob. 19.8EPCh. 11 - Prob. 19.9EPCh. 11 - Prob. 19.10EPCh. 11 - Prob. 21EPCh. 11 - Prob. 22EPCh. 11 - Prob. 23EP
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