Question
LMN Corporation prepares the following cash budget for the month of July: Item Amount ($) Beginning Cash Balance 20,000 Cash Receipts (Sales) 100,000 Cash Payments
LMN Corporation prepares the following cash budget for the month of July:
Item | Amount ($) |
Beginning Cash Balance | 20,000 |
Cash Receipts (Sales) | 100,000 |
Cash Payments (Expenses) | 60,000 |
Ending Cash Balance | ? |
Required:
- Calculate the ending cash balance for LMN Corporation.
- Prepare a cash flow statement.
- Analyze the impact of a delay in cash receipts on cash balance.
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Managerial Accounting
Authors: John Wild, Ken Shaw
5th edition
978-1259176494, 1259176495, 978-1259347641, 1259347648, 978-0078025600
