eBook Show Me How Calculator Personal Budget At the beginning of the school year, Priscilla Wescott 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) $8,090 Purchase season football tickets in September 110 Additional entertainment for each month 280 Pay fall semester tuition in September 4,400 Pay rent at the beginning of each month 390 Pay for food each month 220 Pay apartment deposit on September 2 (to be returned December 15) 600 Part-time job earnings each month (net of taxes) 1,000 a. Prepare a cash budget for September, October, November, and December. Enter all amounts as positive values except cash decrease which should be indicated with a minus sign. a. Prepare a cash budget for September, October, November, and December. Enter all amounts as positive values except cash decrease which should be indicated with a minus sign. Priscilla Wescott Cash Budget For the Four Months Ending December 31 October December September November Estimated cash receipts from: Part time job 950 X Deposit Total cash receipts Less estimated cash payments for Season football tickets Additional entertainment Tuition B88 Rent Food Deposit Total cash payments Cash increase (decrease) Plus cash balance at beginning of month O 00 000 00 Phus cash balance at beginning of month Cash balance at end of month Feedback Check My Wark Sometimes an item may be a decrease in one period and an increase in a dferent period Review the definitions of static budgets and flexible budgets What weaknesses are shown by this cash budget? Learning Objective 2 and Learning Objective 5 b. Are the four monthly budgets that are presented prepared as static budgets or flexible budgets? Static v c. What are the budget implications for Priscilla Wescott? Priscilla can see that her present plan will not provide sufficient cash. If Priscilla did not budget but went ahead with the original plan, she would be $ at the end of December, with no time left to adjust short Check My Wrk a. Prepare a cash budget for September, October, November, and December. Enter all amounts as positive values except cash decrease which should be indicated with a minus sign. Priscilla Wescott Cash Budget For the Four Months Ending December 31 October November December September Estimated cash receipts from: Part-time job 950 X Deposit Total cash receipts Less estimated cash payments for Season football tickets Additional entertainment Tuition Rent Food Deposit Total cash payments Cash increase (decrease) Plus cash balance at beginning of month 000 Y Check My Work Sometimes an item may be a decrease in one period and an increase ina different period. Review the definitions of static budgets and flexible budgets What weaknesses are shown by this cash budget? Learning Objective 2 and Learning Objective 5 b. Are the four monthly budgets that are presented prepared as static budgets or flexible budgets? Static c. What are the budget implications for Priscilla Wescott? Priscilla can see that her present plan will not provide sufficient cash. If Priscilla did not budget but went ahead with the original plan, she would be s short at the end of December, with no time left to adjust. Feedback Y Check My Work Sometimes an item may be a decrease in one period and an increase in a different period Review the definitions of static budgets and flexible budgets What weaknesses are shown by this cash budget? Leaning Objective 2 and Learning Objective 5.)
