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i just need help with the blank questions please. At the beginning of the school year, Katherine Malloy decided to prepare a cash budget for
i just need help with the blank questions please.
At the beginning of the school year, Katherine Malloy decided to prepare a cash budget for the months of September, October, November, and December. The budget must plan for enough cash on December 31 to pay the spring semester tuition, which is the same as the fall tuition. The following information relates to the budget: Cash balance, September 1 (from a summer job) $7,080 100 Purchase season football tickets in September Additional entertainment for each month 250 3,800 Pay fall semester tuition in September Pay rent at the beginning of each month 340 190 Pay for food each month 500 Pay apartment deposit on September 2 to be returned December 15) Part-time job earnings each month (net of taxes) 880 a. Prepare a cash budget for September, October, November, and December. Enter all amounts as positive values except an overall cash decrease which should be indicated with a minus sign. KATHERINE MALLOY Cash Budget For the Four Months Ending December 31 September October November Estimated cash receipts from: Part-time job $ 880 $ 880 $ 880 December $ 880 Deposit 500 $ 880 $ 880 $ 880 $1,380 Total cash receipts Estimated cash payments for: Season football tickets $ Additional entertainment 250 $ 250 $ 250 Tuition 100 250 $ 3,800 3400 190 Rent 340 190 340 190 ( 340 190 Food 500 Deposit Total cash payments $ 5,180 $ 780 $ 100 $ 600 Overall cash increase (decrease) Cash balance at beginning of month $ -4,300 7,080 $ 2,780 $ 780 $ 100 2,780 $2,880 Cash balance at end of month $ Feedback b. Are the four monthly budgets that are presented prepared as static budgets or flexible budgets? Static c. Malloy can see that her present plan will not provide sufficient cash. If Malloy did not budget but went ahead with the original plan, she would be $ short at the end of December, with noStep by Step Solution
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