Q1In a cash budget, sales on credit (assume 30 days) in one month will

a.Decrease cash receipts in the next month.

b.Decrease cash receipts in the current month.

c.Increase cash receipts in the current month.

d.Increase cash receipts in the next month.

Q2:In a cash budget, a reduction in inventory purchases on credit (assume 30 days) in one month will

a.Decrease cash payments in the current month.

b.Increase cash payments in the current month.

c.Decrease cash payments in the next month.

d.Increase cash payments in the next month.