Cash Budgeting

	April	May	June	July	August	September
beginning cash balance			66,000
Min cash balance always desired (4,000)			4,000	4,000	4,000
Available cash balance			2,600
Sales	130,000	130,000	240,000	170,000	170,00	120,000
Purchases (63% of next month's sales
COLLECTIONS
Memo: Credit sales (70% of all sales)	91,000
Credit sales collected next month (70%)		63,700
Credit sales collected 2nd month (30%)			27,300
Cash sales	39,000
Total collections
DISBURSEMENTS
For merchandise purchases		151,200	107,100
Salaries wages commissions (24% of sales)
Other variable expenses (3% of sales)
Fixed expenses
Fixtures (purchased in May)
Interest payments			0	979	240
Total Disbursements			230,000
Net cash receipts and disbursements			-67,000
Excess (deficiency) of cash before financing (should be -64400)			-64,400
Borrowing, (at beginning of period) even 1,000 increments			65,000
Repayment (at end of period)
Ending cash balance (line 5 + line 26 + either line 28 or 29)			4,600	4,521	4,981

Budgeted income statement for 3 months (info should be gathered from cash budgeting)

Sales	?????
Cost of goods sold (.63 x sales)
Gross Profit
Oeprating expenses
salaries, wages, commissions		pull from cash budget fro the quarter
other expesnes		pull from cash budget fro the quarter
Depreciation	3,000	1,000 per month x 3 months
Rent, taxes & other fixed expenses		ull from cash budget fro the quarter
income from operations
interest expense (given in cash budget)
net income
Check figure: Net Income should be $26,781

Balance Sheet August (info should be gathered from cash budgeting)

Assets			Liabilities and Stockholders Equity
Cash		cell F30 cash budget	Accounts payable	cell F10 cash budget
Accounts receivable	154,700		Notes payable	unrepaid borrowing @ QTR end
Merchandise inventory	75,600		Total current liabilities
Total current assets
Net fixed assets:			Stockholders' equity:
Furniture and Fixtures	55,000		$171,900 + net income
Less accum depreciation			Total liabilities and
Total assets			Total liabilities and
		stockholders equity
Check figure: Total assets should be $284,281