Problem 24-04

Given the following information, complete the cash budget:

1. Collections occur one month after the sale.
2. Januarys credit sales were $60,000.
3. The firm has a certificate of deposit for $30,000 that matures in April.
4. Salaries are $140,000 a month.
5. The monthly mortgage payment is $30,000.
6. Monthly depreciation is $20,000.
7. Property tax of $40,000 is due in February.

Round your answers to the nearest dollar. Enter the disbursements values as positive values. Use a minus sign to enter shortage of cash, negative beginning and ending cash values, if any. Do not leave any cells blank. If the answer is zero, enter "0".

		February		March		April
Sales	$	150,000	$	190,000	$	230,000
Cash sales	$	30,000	$	15,000	$	60,000
Collections	$		$		$
Other receipts	$		$		$
Total cash receipts	$		$		$
Salaries	$		$		$
Mortgage	$		$		$
Other disbursements	$		$		$
Total cash disbursements	$		$		$
Net change during the month	$		$		$
Beginning cash	$	30,000	$		$
Ending cash	$		$		$
Required level of cash	$	14,000	$	14,000	$	14,000
Excess cash or (shortage)	$		$		$