Lager Dental Clinic is a medium-sized dental service specializing in family dental care. The clinic is currently

Question:

Lager Dental Clinic is a medium-sized dental service specializing in family dental care. The clinic is currently preparing the master budget for the first 2 quarters of 2014. All that remains in this process is the The following information has been collected from other portions of the master budget and elsewhere.
Beginning cash balance ........ $ 30,000
Required minimum cash balance ..... 25,000
Payment of income taxes (2nd quarter) .. 4,000
Professional salaries:
1st quarter ............. 140,000
2nd quarter ............ 140,000
Interest from investments (2nd quarter) .. 7,000
Overhead costs:
1st quarter .............. 75,000
2nd quarter .............. 100,000
Selling and administrative costs, including
$2,000 depreciation:
1st quarter ............. 50,000
2nd quarter ............. 70,000
Purchase of equipment (2nd quarter) .... 50,000
Sale of equipment (1st quarter) ..... 12,000
Collections from clients:
1st quarter ............. 230,000
2nd quarter ............. 380,000
Interest payments (2nd quarter) ....... 400

Instructions
Prepare a for each of the first two quarters of 2014.

Cash Budget
A cash budget is an estimation of the cash flows for a business over a specific period of time. These cash inflows and outflows include revenues collected, expenses paid, and loans receipts and payment. Its primary purpose is to provide the...