CASE $13\mathrm{.}2$ Cash Budgeting for You as a Student $[$ LO$13-1,$ LO$13-8$

Individuals generally do not prepare statements of cash flows concerning their personal activities. But they do engage in cash budgeting$-$if not on paper, then at least in their heads.

Assume it is December $29-$a Monday, While you are in school, you share a modest apartment with several other students and work part time, both near your school to minimize expenses. In two days your share of the rent for January, $$200,$ will be due. You now have $$140$ in the bank; every Friday you receive a paycheck for $$100.$ You probably see the problem. And it may not look too serious; you can find a way to deal with it$.$ That's what budgeting is all about.

Let's take this example a step further. In addition to the facts given, your weekly cash payments include meals, $$30$; entertainment, $$20$; and gasoline, $$10.$

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Instructions

a$.$ Using the following cash budget, compute your cash balance at the end of weeks $2,3,$ and $4.$

b$.$ Evaluate your financial situation.