Question
Below are the forecasted receipts and cash payments from Augusta Company for the first four months of the year: January February March April Budgeted Cash
Below are the forecasted receipts and cash payments from Augusta Company for the first four months of the year:
| January | February | March | April | |
| Budgeted Cash Collections | $243,000 | $382,000 | $471,000 | $605,000 |
| Budgeted Cash Payments: | ||||
| Operating Expenses | $606,000 | $849,000 | $803,000 | $386,000 |
| Dividends | $229,000 | |||
| Equipment Purchases | $164,000 | |||
| Total Budgeted Cash Payments | $606,000 | $1,078,000 | $967,000 | $386,000 |
On January 1, Augusta Company had a cash balance of$327,000. Augusta Company implemented a new policy this year mandating a cash balance of at least $378,000 at the end of each month and using any surplus to pay down loans.
How much of its outstanding loans must Augusta Company plan to repay in April?
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Executive Roadmap To Fraud Prevention And Internal Control Creating A Culture Of Compliance
Authors: Joel T. Bartow, Martin T. Biegelman
2nd Edition
1118004582, 9781118004586
