Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

You recently began a job as an accounting intern at Rocky Adventures. Your first task was to he a hard copy. You ran a program

image text in transcribed
image text in transcribed
You recently began a job as an accounting intern at Rocky Adventures. Your first task was to he a hard copy. You ran a program to salvage bits of data from the budget file. After entering the fc (Click the icon to view information on borrowing cash.) Requirements Complete the following cash budget. (For amounts with a $0 balance, make sure to enter "0" in the amount is a net outflow. Round interest expense to the nearest whole dollar.) February 16,900 $ Beginning cash balance Plus: Cash collections Mor Plus: Cash from sale of plant assets 0 $ 107,100 Total cash available Less: Cash payments (purchase inventory) Less: Cash payments (operating expenses) Total cash payments (1) Ending cash balance before financing Minimum cash balance desired 47,700 98,000 Roc Ban end becc $ 21,000 Cash excess (deficiency) Financing Plus: New borrowings Less: Debt repayments Less: Interest payments (2) Total effects of financing Ending cash balance (1) + (2) Enter any number in the edit fields and then click Check Answer. Help Me Solve This Video Get More Heln to help prepare the cash budget for February and March. Unfortunately, the computer with the budget file crashed, and you did not have a backup or even he following data in the budget, you may have just enough information to reconstruct the budget 0" in the appropriate input field. Enter cash deficiencies with a minus sign or parentheses. Enter the net total offects of financing with a minus sign when - X More Info Rocky Adventures eliminates any cash deficiency by borrowing the exact amount needed from State Street Bank, where the current interest rate is 8%. Rocky Adventures pays interest on its outstanding debt at the end of each month. The company also repays all borrowed amounts at the end of the month as cash becomes available. Print Done

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Accountability Ethics And Sustainability Of Organizations

Authors: Sandro Brunelli, Emiliano Di Carlo

3rd Edition

3030311929, 9783030311926

More Books

Students also viewed these Accounting questions