1. Humming Bird Imaging Center has provided you, a prospective financial analyst, with the following information and asked you to create a cash budget to show them what you can do.

Payment Patterns: 10% of their patients pay at the time of service

50% of their patients pay the following month

40% of their patients pay the second month after service

Patient Revenues (Sales)

January $4,000,000

February $4,200,000

March $4,200,000

April $4,300,000

May $4,350,000

June $4,400,000

Expenses:

Supplies:

April: $1,400,000

May: $1,200,000

June: $1,000,000

Personnel

April: $2,000,000

May: $2,000,000

June: $2,000,000

Rent & Utilities

$7500 per month

Your ending cash balance as of the end of March is $700,000

Create the Cash Budget for April, May and June. Make sure to show your calculations for receipts for full credit.