Question
Hutchinson, Inc. provides the following data taken from its third quarter budget: Jul Aug Sep Cash collections $68,000 $34,000 $42,000 Cash payments: Purchases of direct
Hutchinson, Inc. provides the following data taken from its third quarter budget:
| Jul | Aug | Sep | |
| Cash collections | $68,000 | $34,000 | $42,000 |
| Cash payments: | |||
| Purchases of direct materials | 31,000 | 32,000 | 25,000 |
| Operating expenses | 11,000 | 19,000 | 20,000 |
| Capital expenditures | 0 | 34,000 | 7,000 |
The cash balance on June 30 is projected to be $12,000. Based on the above data, calculate the shortfall the company is projected to have at the end of August.
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Horngrens Financial And Managerial Accounting The Managerial Chapters
Authors: Tracie Miller Nobles, Brenda Mattison, Ella Mae Matsumura
6th Edition
0134486854, 978-0134486857
