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Need help foguring out how to find the additional loan from bank! Thank you!! Santos Co. is preparing a cash budget for February. The company
Need help foguring out how to find the additional loan from bank!
Santos Co. is preparing a cash budget for February. The company has $18,000 cash at the beginning of February and anticipates $70,000 in cash receipts and $113,000 in cash payments during February. What amount, if any, must the company borrow during February to maintain a $4.000 cash balance? The company has no loans outstanding on February 1 (Negative cash balances, if any, should be indicated with minus sign.) SANTOS CO Cash Budget For Month Ended February 20 Beginning cash balance Cash receipts Total cash available Cash payments Preliminary cash balance $ Additional loan from bank Ending cash balance 18,000 70,000 88,000 113,000 (25,000) 4,000 Thank you!!
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