zap medical supply prepare zap medical supply cash budget

i More Info ap Medical Supply began October with $10,400 cash. (Click the icon to view further information) Requirement Prepare Zap Medical Supply's cash budget for October and November Management forecasts that collections from credit customers will be $10,800 in October and $15,200 in November. The business is scheduled to receive $7,000 cash on a business note receivable in October Projected cash payments include inventory purchases ($11,200 in October and $14,800 in November) and operating expenses ($4,000 each month) Zap Medical Supply's bank requires a $11,000 minimum balance in the business' checking account. At the end of any month when the account balance dips below $11,000, the bank automatically extends credit to the store in multiples of $2,000. The company borrows as lttle as possible and pays back loans in quarterly installments of $4,000 plus 5 % interest on the entire unpaid principal. The first payment occurs three months after the loan. Zap Medical Supply Combined Cash Budget For the Months Ended October and November October November 10400 Beginning cash balance 10800 Plus: Cash collections 7000 Plus: Collection of note receivable Done Print Total cash available 28200 Less: Cash payments: 11200 Purchases of inventory 4000 4000 Operating expenses Enter any number in the edit felds and then continue to the next question. 7DBBBE % & # 3 4 5 6 7 9 E R T Y C N More Info Zap Medical Supply began October with $10,400 cash (Click the icon to view further information.) Requirement Prepare Zap Medical Supply's cash budget for October and November Management forecasts that collections from credit customers will be $10,800 in October and $15,200 in November The business is scheduled to receive $7,000 cash on a business note receivable in October Projected cash payments include inventory purchases ($11,200 in October and $14,800 in November) and operating expenses ($4,000 each month). Medical Supply's bank requires a $11,000 minimum balance in the business checking account. At the end of any month when the account balance dips below $11,000, the bank automaticaly extends credit to the store in multiples of $2,000. The company borrows as ittle as possible and pays back loans in quarterly installments of $4,000 plus 5 % interest on the entire unpaid principal. The first payment occurs three months afher the loan 28200 Tolal cash avalable Less: Cash payments 11200 Purchases of inventory 4000 4000 Operaing expenses. 15200 Total payments 13000 Ending cash balance before financing 11000 Done Minimum cash balance desired Print Cash excess (deficiency) Total effect of financing Ending cash balance Enter any number in the edn felds and then continue to the next