COMM101 Lecture Notes - Lecture 6: Vagueness, Energy Star, Greenwashing
14 Apr 2016
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Tool to forecast and manage cash lows: helps you to determine what you need in terms of cash and manage it, **10 marks on inal exam** Receipts: what you have/ expect to have coming in. Disbursements: what you have/ expect to have going out. You should always compare expected cash amount to minimum cash balance: to create a cushion if something comes up. Ending cash balance = beginning cash balance of next month. Worksheet based on historical measures of amounts and iming of cash lows / what is typical in industry. 3 possibiliies (besides excess = balance required: 1. Some of the borrowings needed to cover bills so you may have borrowed more than the minimum required: 2. You can choose how much to allocate toward repayment. If you do use all of it to repay, ending balance = minimum required. If you don"t, ending balance = total excess: 3.
