Personal Budget

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)	$7,730
Purchase season football tickets in September	110
Additional entertainment for each month	270
Pay fall semester tuition in September	4,200
Pay rent at the beginning of each month	370
Pay for food each month	210
Pay apartment deposit on September 2 (to be returned December 15)	500
Part-time job earnings each month (net of taxes)	960

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	December
Estimated cash receipts from:
Part-time job	$fill in the blank 1a0df9f78063046_1	$fill in the blank 1a0df9f78063046_2	$fill in the blank 1a0df9f78063046_3	$fill in the blank 1a0df9f78063046_4
Deposit				fill in the blank 1a0df9f78063046_5
Total cash receipts	$fill in the blank 1a0df9f78063046_6	$fill in the blank 1a0df9f78063046_7	$fill in the blank 1a0df9f78063046_8	$fill in the blank 1a0df9f78063046_9
Estimated cash payments for:
Season football tickets	$fill in the blank 1a0df9f78063046_10
Additional entertainment	fill in the blank 1a0df9f78063046_11	$fill in the blank 1a0df9f78063046_12	$fill in the blank 1a0df9f78063046_13	$fill in the blank 1a0df9f78063046_14
Tuition	fill in the blank 1a0df9f78063046_15
Rent	fill in the blank 1a0df9f78063046_16	fill in the blank 1a0df9f78063046_17	fill in the blank 1a0df9f78063046_18	fill in the blank 1a0df9f78063046_19
Food	fill in the blank 1a0df9f78063046_20	fill in the blank 1a0df9f78063046_21	fill in the blank 1a0df9f78063046_22	fill in the blank 1a0df9f78063046_23
Deposit	fill in the blank 1a0df9f78063046_24
Total cash payments	$fill in the blank 1a0df9f78063046_25	$fill in the blank 1a0df9f78063046_26	$fill in the blank 1a0df9f78063046_27	$fill in the blank 1a0df9f78063046_28
Overall cash increase (decrease)	$fill in the blank 1a0df9f78063046_29	$fill in the blank 1a0df9f78063046_30	$fill in the blank 1a0df9f78063046_31	$fill in the blank 1a0df9f78063046_32
Cash balance at beginning of month	fill in the blank 1a0df9f78063046_33	fill in the blank 1a0df9f78063046_34	fill in the blank 1a0df9f78063046_35	fill in the blank 1a0df9f78063046_36
Cash balance at end of month	$fill in the blank 1a0df9f78063046_37	$fill in the blank 1a0df9f78063046_38	$fill in the blank 1a0df9f78063046_39	$fill in the blank 1a0df9f78063046_40

b. Are the four monthly budgets that are presented prepared as static budgets or flexible budgets? (static/flexible)

c. Malloy can see that her present plan......................(will not provide/will provide) sufficient cash. If Malloy did not budget but went ahead with the original plan, she would be.......................... .....(short /over) at the end of December, with no time left to adjust.