170 270 Personal budget 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 the budget: Cash balance, September 1 (from a summer job) $8,800 Purchase season football tickets in September Additional entertainment for each month Pay fall semester tuition in September 4,600 Pay rent at the beginning of each month Pay for food each month Pay apartment deposit on September 2 (to be returned December 15) 650 Part-time job earnings each month (net of taxes) This information has been collected in the Microsoft Excel Online fille. Open the spreadsheet, perform the required analysis, and input your answers in the questions below. 650 600 1,300 X Open naadsheet Cash Budget For the Four Months Ending December 31 September October November December Estimated cash receipts from: Part-time job 1,300 1,300 $ 1,300 $ 1,300 Deposit 600 X 1,300 $ 1,300 $ 1,300 $ 1,900 X I Total cash receipts Less estimated cash payments for: Season football tickets Additional entertainment Tuition -170 X -270 X 5 -270 X 5 -270 X 5 -270 X -4,600 X Rent -650 X -650 X -650 X -650 X Food -600 X -600 X -600 X -600 X Deposit -650 X Total cash payments -6,940 X $ -1,520 X $ -1,520 X $ -1,520 X Cash increase (decrease) -5,640 -2205 -220 -220 Tuition -4,600 X Rent -650 X -650 X -650 X -650 X Food -600 X -600 X -600 X -600 X -1,520 X $ -1,520 X -220 -220 X Deposit -650 X Total cash payments -6,940 X $ -1,520 Xs Cash increase (decrease) -5,640 s -220 Less cash balance at beginning of month X 8,800 5,810 x Cash balance at end of month SI 3,160 5,470 Xs b. Are the four monthly budgets that are presented prepared as static budgets or flexible budgets? 5,810 X 7,110 x 5,200 X 6,500 X Static c. What are the budget implications for Craig Kovar? Craig can see that his present plan will not provide sufficient cash. If Craig did not budget but went ahead with the original plan, he would be $ short at the end of December, with no time left to adjust