Business, 18.08.2019 03:10 christinafish9303

The table below contains the summary of the budgeted cash flows for the upcoming year.1st quarter 2nd quarter 3rd quarter 4th quartertotal cash receipts $280,000 $400,000 $330,000 $350,000total cash disbursements $344,000 $314,000 $304,000 $324,000additional information: a minimum cash balance of $10,000 is required. the company may borrow any amount needed from a local bank at a quarterly interest rate of 3%.the company's beginning cash balance for the upcoming fiscal year will be $45,000. the company is permitted to borrow any amount at the beginning of any quarter and is also permitted to repay its loans, or any part of its loans, at the end of any quarter. interest payments are due on any principal at the time it is repaid (assume that interest is not compounded).required: complete the company's cash budget for the upcoming fiscal year. (cash deficiency, repayments, and interest, should be indicated by a minus sign.)cash budget1st quarter 2nd quarter 3rd quarter 4th quarter yearbeginning cash balance $45,000 $10,000 $65,260 $91,260 $45,000total cash receipts 280,000 400,000 330,000 350,000 1,360,000total cash available 325,000 410,000 395,260 441,260 1,405,000less total cash disbursements 344,000 314,000 304,000 324,000 1,286,000excess (deficiency) of cash available over disbursements (19,000) 96,000 91,260 117,260 119,000financing: borrowings 29,00029,000repayments (29,000) (29,000)interest (1,740) (1,740)total financing 29,000 (30,740) 02 (1,740)ending cash balance $10,000 $65,260 $91,260 $117,260 $117,260explanation: borrowings (at beginnings of quarters): since the deficiency of cash available over disbursements is $19,000, the company must borrow $29,000 to maintain the desired ending cash balance of $10,000.interest: $29,000 × 3% × 2 = $1,740

Answers: 3

Show answers

Another question on Business

Business, 22.06.2019 00:10

What are the forecasted levels of the line of credit and special dividends? (hints: create a column showing the ratios for the current year; then create a new column showing the ratios used in the forecast. also, create a preliminary forecast that doesn’t include any new line of credit or special dividends. identify the financing deficit or surplus in this preliminary forecast and then add a new column that shows the final forecast that includes any new line of credit or special dividend.) now assume that the growth in sales is only 3%. what are the forecasted levels of the line of credit and special dividends?

Answers: 1

Answer

Business, 23.06.2019 00:00

Todd and jim learned that in building a business plan, it was important for them to:

Answers: 1

Answer

Business, 23.06.2019 09:30

Which of the following describes an executive information system (eis)

Answers: 2

Answer

Business, 23.06.2019 17:20

Apractitioner is engaged to prepare a client's federal income tax return for 2017 and 2018. the practitioner files the 2017 return on the client's behalf and provided copies of the 2017 return and all related documents to the client. after the 2018 return is prepared, the client disputes the fees for the 2018 tax engagement, terminates the relationship, and requests all tax returns and related records. the client has not yet paid for preparation of the 2018 return. under irs circular 230, which records must the practitioner return to the client? a.) notes the practitioner took when meeting with the client about the 2017 and 2018 tax returns. b.) the engagement letter executed by the client for preparation of the 2018 federal income tax return. c.) an appraisal the practitioner prepared in connection with the 2017 federal income tax return. d.) schedules the practitioner prepared, which the client needs to file in its 2018 federal income tax return.

Answers: 1

Answer

You know the right answer?

The table below contains the summary of the budgeted cash flows for the upcoming year.1st quarter 2n...

Questions