160 250 At the beginning of the school year, Craig Kovar decided to prepare a cash budget for the months of September, October, November, and December. The budget must plan for enough cash on December 31 to pay the spring semester tuition, which is the same as the fall tuition. The following information relates to the budget: Cash balance, September 1 (from a summer job) $9,250 Purchase season football tickets in September Additional entertainment for each month Pay fall semester tuition in September 4,800 Pay rent at the beginning of each month 600 Pay for food each month Pay apartment deposit on September 2 (to be returned December 15) Part-time job earnings each month (net of taxes) 1,200 550 600 a. Prepare a cash budget for September, October, November, and December. Use the minus sign to indicate cash outflows, a decrease in cash or cash payments. Craig Kovar Cash Budget For the Four Months Ending December 31 September October November December Estimated cash receipts from: Part-time job 1,200 $ 1,200 1,200 1,200 Deposit 600 1,200 1,200 1,200 1,800 Total cash receipts Less estimated cash payments for: Season football tickets $ Additional entertainment $ $ Tuition Rent Food Il Deposit $ $ $ Total cash payments Cash increase (decrease) Plus cash balance at beginning of month 0000 00 9,250 Cash balance at end of month 3,490 b. Are the four monthly budgets that are presented prepared as static budgets or flexible budgets? c. What are the budget implications for Craig Kovar? Craig can see that his present plan he would be $ sufficient cash. If Craig did not budget but went ahead with the original plan, at the end of December, with no time left to adjust