It should look like this. March April May June July in the columns The rows will have the following Sales Cash Sales (30%) Lag 1 month (65%) Lag 2 months (5%) Other income Total Cash receipts with totals for MAY June and July

The next table will have March April May June JULY in columns The rows will have the following Purchases Rent Wages and salaries Dividends Principle and Interest Purchase of new equipment Taxes due Total cash disbursements

The next table will have March April June July The rows will have the following Net cash flow Add: Beginning cash Ending Cash Minimum cash Requiring total financing (notes payable) Excess cash balance (marketable securities)

Lastly how much a firm should establish for a line of credit For example The firm should establish a credit line of at least $40,125, but may need to secure three to four times this amount based on scenario analysis

Cash budget-Basic Grenoble Enterprises had sales of $50,000 in March and $60,400 in April. Forecast sales for May, June, and July are $70,500, $80,400, and $100,200, respectively. The firm has a cash balance of $5,100 on May 1 and wishes to maintain a minimum cash balance of $5,100. Given the following data, prepare and interpret a cash budget for the months of May, June, and July. (1) The firm makes 25% of sales for cash, 57% are collected in the next month, and the remaining 18% are collected in the second month following sale. (2) The firm receives other income of $1,500 per month. (3) The firm's actual or expected purchases, all made for cash, are $50,000, $70,300, and $80,100 for the months of May through July, respectively. (4) Rent is $2,500 per month. (5) Wages and salaries are 9% of the previous month's sales. (6) Cash dividends of $3,500 will be paid in June. (7) Payment of principal and interest of $3,900 is due in June. (8) A cash purchase of equipment costing $6,000 is scheduled in July. (9) Taxes of $5,900 are due in June