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Garden Depot is a retailer that provided the following budgeted cash flows for next year: 1 st Quarter 2 nd Quarter 3 rd Quarter 4

Garden Depot is a retailer that provided the following budgeted cash flows for next year:
1st Quarter 2nd Quarter 3rd Quarter 4th Quarter
Total cash receipts $ 290,000 $ 440,000 $ 320,000 $ 340,000
Total cash disbursements $ 337,000 $ 307,000 $ 297,000 $ 317,000
The companys beginning cash balance for next year will be $42,000. The company requires a minimum cash balance of $10,000 and may borrow money at the beginning of any quarter and may repay any part of its loans at the end of any quarter. Interest payments, based on a quarterly interest rate of 3%, are due on any principal at the time it is repaid. For simplicity, assume interest is not compounded.
Required:
Prepare the companys cash budget for next year.
Note: Repayments, interest, and cash deficiencies should be indicated by a minus sign.Prepare the company's cash budget for next year.
Note: Repayments, interest, and cash deficiencies should be indicated by a minus sign.
\table[[Garden Depot],[Cash Budget],[,1st Quarter,2nd Quarter,3rd Quarter,4th Quarter,Year],[Beginning cash balance,$,42,000,$,9,550,,],[Total cash receipts,,290,000,,,,,],[Total cash available,,332,000,,9,550,0,0,],[Total cash disbursements,,337,000,,,,,],[Excess (deficiency) of cash available over disbursements,,(5,000),,9,550,0,0,],[Financing:],[Borrowings,,15,000,,,,,],[Repayments,,(900),,,,,],[Interest,,450,,,,,],[Total financing,,14,550,,0,0,0,],[Ending cash balance,$,9,550,$,9,550,$,$,]]
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