Example

P3-7 Cash disbursements schedule Maris Brothers, Inc., needs a cash disbursement schedule for the months of April, May, and June. Use the format of Table 3.9 (on page 113) and the following information in its preparation. Sales: February = $500,000; March $500,000; April $560,000; May $610,000; June $650,000; July $650,000 Cash Flow and Financial Planning 113 CHAPTER 3 A Schedule of Projected Cash Disbursements for Coulson Industries ($000) TABLE 3.9 Oct. $280 Nov Dec. Aug. $70 Sept. $140 $140 $210 Purchases (0.70x sales) $ 14 $ 28 $ 21 Cash purchases (0.10) $14 $7 Payments of A/P: Lagged 1 month (0.70) 147 98 196 49 56 28 14 Lagged 2 months (0.20) 5 Rent payments 28 38 48 Wages and salaries Tax payments Fixed-asset outlays Interest payments Cash dividend payments Principal payments Total cash disbursements 2.5 130 $305 $418 $213 10 20 20