Chapter 21, Problem 21.6APE

To determine

Cash budget is a budget that is prepared to estimate the cash inflows and cash outflows for a particular period of time. It is used to find out whether adequate cash required for business operations is available with the company. It includes cash receipts, cash payments, and short-term financing. It excludes non-cash transactions such as depreciation expense, conversion of bonds to other type of assets, and exchange of non-cash assets for only non-cash assets.

To Calculate: The budgeted cash receipts from sales on account for July.