{ "key_pair_value_system": true, "answer_rating_count": "", "question_feedback_html": { "html_star": "", "html_star_feedback": "" }, "answer_average_rating_value": "", "answer_date_js": "2024-06-10T03:23:21-04:00", "answer_date": "2024-06-10 03:23:21", "is_docs_available": "", "is_excel_available": "", "is_pdf_available": "", "count_file_available": 0, "main_page": "student_question_view", "question_id": "2560740", "url": "\/study-help\/questions\/f-2560740", "question_creation_date_js": "2024-06-10T03:23:21-04:00", "question_creation_date": "Jun 10, 2024 03:23 AM", "meta_title": "[Solved] 1. The financial staff at The Right Targe | SolutionInn", "meta_description": "Answer of - 1. The financial staff at The Right Target, Inc., a research marketing and consulting firm, is working on a cash budge | SolutionInn", "meta_keywords": "1,financial,staff,right,target,inc.,research,marketing,consulting,firm,working,cash", "question_title_h1": " 1. The financial staff at The Right Target, Inc., a research marketing and consulting firm, is working on a cash budget for July to", "question_title": " 1. The financial staff at The Right Target, Inc., a research", "question_title_for_js_snippet": "1 The financial staff at The Right Target, Inc , a research marketing and consulting firm, is working on a cash budget for July to December 2011 The staff has projected the following cash collections and payments Collections Payments Month July August September October November December Cash Sales $10,000 $12,000 $14,000 $16,000 $20,000 $25,000 Credit Sales $20,000 $24,000 $28,000 $32,000 $40,000 $50,000 Purchases $15,000 $18,000 $21 ,ooo $24,000 $30,000 $37 ,500 Wages $6000 $7 ,200 $8 ,400 $9 ,600 $12,000 $15,000 Miscellaneous Expenses $1,500 $2,000 $2,500 $3 ,ooo $4,000 $4,500 a If the ending cash balance as of June 30, 2011 was $10,000, determine the firm's forecasted monthly cash balance b The financial staff at The Right Target, Inc wants to know how much they would need to borrow on a monthly basis if the firm needs a minimum ending cash balance of $30,000 and the average annual interest its short term borrowing is 7 c Determine the impact on the ending cash balance if the firm uses any cash surplus above the required minimum cash balance to pay off its short term borrowing monthly ", "question_description": "\"image
\"image<\/div><\/div><\/div>", "transcribed_text": "1. The financial staff at The Right Target, Inc., a research marketing and consulting firm, is working on a cash budget for July to December 2011. The staff has projected the following cash collections and payments: Collections Payments Month July August September October November December Cash Sales $10,000 $12,000 $14,000 $16,000 $20,000 $25,000 Credit Sales $20,000 $24,000 $28,000 $32,000 $40,000 $50,000 Purchases $15,000 $18,000 $21 ,ooo $24,000 $30,000 $37 ,500 Wages $6000 $7 ,200 $8 ,400 $9 ,600 $12,000 $15,000 Miscellaneous Expenses $1,500 $2,000 $2,500 $3 ,ooo $4,000 $4,500 a. If the ending cash balance as of June 30, 2011 was $10,000, determine the firm's forecasted monthly cash balance. b. The financial staff at The Right Target, Inc. wants to know how much they would need to borrow on a monthly basis if the firm needs a minimum ending cash balance of $30,000 and the average annual interest its short-term borrowing is 7%. c. Determine the impact on the ending cash balance if the firm uses any cash surplus above the required minimum cash balance to pay off its short-term borrowing monthly.", "related_book": { "title": "Corporate Finance Core Principles and Applications", "isbn": "978-0077971304, 77971302, 978-0073530680, 73530689, 978-0071221160, 71221166, 978-0077905200", "edition": "3rd edition", "authors": "Stephen Ross, Randolph Westerfield, Jeffrey Jaffe, Bradford", "cover_image": "https:\/\/dsd5zvtm8ll6.cloudfront.net\/si.question.images\/book_images\/562.jpg", "uri": "\/textbooks\/corporate-finance-core-principles-and-applications-3rd-edition-562", "see_more_uri": "" }, "free_related_book": { "isbn": "0530002086", "uri": "\/textbooks\/electronic-and-magnetic-phenomena-of-inorganic-and-organic-low-dimensional-solids-1997th-edition-978-0530002088-149880", "name": "Electronic And Magnetic Phenomena Of Inorganic And Organic Low Dimensional Solids", "edition": "1997th Edition" }, "question_posted": "2024-06-10 03:23:21", "see_more_questions_link": "\/study-help\/questions\/business-management-leadership-2023-June-05", "step_by_step_answer": "The Answer is in the image, click to view ...", "students_also_viewed": [ { "url": "\/a-if-gx-x6-x4-x-0", "description": "(a) If g(x) = x6 + x4, x > 0, use a computer algebra system to find an expression for g-1(x). (b) Use the expression in part (a) to graph y = g(x), y = x, and y = g-1(x) on the same screen.", "stars": 3 }, { "url": "\/study-help\/contemporary-business\/draw-supply-and-demand-graphs-that-estimate-what-will-happen", "description": "Draw supply and demand graphs that estimate what will happen to demand, supply, and the equilibrium price of coffee if these events occur: a. Widely reported medical studies suggest that coffee...", "stars": 3 }, { "url": "\/study-help\/coaching-supervision-a-practical-guide-for-supervisees\/4-what-do-you-see-as-similarities-and-differences-between-1983688", "description": "4 What do you see as similarities and differences between personal and relational construct coaching and appreciative coaching?", "stars": 3 }, { "url": "\/angela-duffy-president-of-duffy-company-has-instructed-jana-barth", "description": "Angela Duffy, president of Duffy Company, has instructed Jana Barth, the head of the accounting department for Duffy Company, to report the companys land in the companys accounting reports at its...", "stars": 3 }, { "url": "\/study-help\/questions\/al-fahad-constructions-llc-approached-bank-muscat-to-obtain-loan-9911777", "description": "Al Fahad Constructions LLC approached Bank Muscat to obtain loan and the banker asked security for the loan. So, the computay pindged accounts receivable as security for debt and included the...", "stars": 3 }, { "url": "\/study-help\/questions\/use-technology-to-help-you-test-the-claim-about-the-5003953", "description": "Use technology to help you test the claim about the population mean, , at the given level of significance, , using the given sample statistics. Assume the population is normally distributed.Claim:...", "stars": 3 }, { "url": "\/study-help\/questions\/3fresh-foods-wants-to-decrease-the-total-cost-of-guava-1004739", "description": "3.Fresh Foods wants to decrease the total cost of guava. Identify three costs areas - other than price - that Fresh Foods to focus on to decrease total cost. Explain why you choose those cost areas....", "stars": 3 }, { "url": "\/study-help\/questions\/isuggest-at-least-three-3-kinds-of-analytics-and-machine-1005429", "description": "i.Suggest at least THREE (3) kinds of analytics and machine learning algorithms that Champo Carpets can use to solve their problems, and in general, for value creation. ii.Explain the data strategy...", "stars": 3 }, { "url": "\/study-help\/questions\/while-traveling-on-an-assignment-that-is-being-paid-for-1004811", "description": "While traveling on an assignment that is being paid for by your employer, you visit an area in which you would really like to live but can never find time to visit on your own. You have five days to...", "stars": 3 }, { "url": "\/study-help\/questions\/5-case-study-2-gojek-and-grab-strategy-the-case-1005359", "description": "5. Case Study 2. Gojek and Grab Strategy The case study below explains that there are 2 industries that provide on-demand services, Gojek and Grab. Both are fiercely competitive in the same market in...", "stars": 3 }, { "url": "\/study-help\/questions\/why-cobranding-is-an-important-strategy-for-the-marketers-how-1005512", "description": "Why Co-Branding is an important strategy for the marketers? How does it work? Discuss with the help of some examples. How you can differentiate between brand extension and line extension? Discuss...", "stars": 3 }, { "url": "\/study-help\/questions\/procedures-help-achieve-a-high-degree-of-regularity-thus-procedure-5042280", "description": "Procedures help achieve a high degree of regularity, thus procedure manuals should be available as reference for all personnel to serve which of the following purposes? Basis for orientation and...", "stars": 3 }, { "url": "\/study-help\/principles-of-financial-accounting\/rose-ubens-buys-and-sells-goods-her-trial-balance-is-1544422", "description": "Rose Ubens, buys and sells goods. Her trial balance is presented below. Required: Prepare Rose Ubens trading and profit and loss account for the year ended 31 December 2005 and a balance sheet as at...", "stars": 3 }, { "url": "\/study-help\/principles-of-financial-accounting\/paul-icasso-has-the-following-trial-balance-required-prepare-paul-1544423", "description": "Paul Icasso has the following trial balance. Required: Prepare Paul Icassos trading and profit and loss account for the year ended 31 March 2006 and a balance sheet as at 31 March 2006. P. Icasso...", "stars": 3 }, { "url": "\/study-help\/principles-of-financial-accounting\/michael-anet-has-the-following-trial-balance-required-prepare-michael-1544424", "description": "Michael Anet has the following trial balance Required: Prepare Michael Anets trading and profit and loss account for the year ended 31 December 2005 and balance sheet as at 31 December 2005. M. Anet...", "stars": 3 } ], "next_back_navigation": { "previous": "\/study-help\/questions\/carol-and-al-richards-both-67-years-old-have-2560739", "next": "\/study-help\/questions\/restructuring-jal-you-are-helping-etic-decide-on-the-plan-2560741" }, "breadcrumbs": [ { "name": "Study help", "link": "https:\/\/www.solutioninn.com\/study-help\/questions-and-answers" }, { "name": "Business", "link": "https:\/\/www.solutioninn.com\/study-help\/questions-and-answers\/business" }, { "name": "Finance", "link": "https:\/\/www.solutioninn.com\/study-help\/questions\/business-finance" }, { "name": " 1. The financial staff at The Right Target, Inc., a research", "link": "https:\/\/www.solutioninn.com\/study-help\/questions\/f-2560740" } ], "skill_details": { "skill_id": "13", "skill_name": "Finance", "parent_id": "1" } }}