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Cash budget:
Quarter
April May June Total
Beginning cash balance $ 74,000 $ 50,000 $ 50,000 $ 174,000
Add cash receipts:
Cash collections from sales 436,000 695,000 865,000 1,996,000
Total cash available $ 510,000 $ 745,000 $ 915,000 $ 2,170,000
Less cash disbursements:
Purchases of inventory 258,000 318,000 244,000 820,000
Sales commissions 26,000 40,000 20,000 86,000
Advertising 200,000 200,000 200,000 600,000
Rent 18,000 18,000 18,000 54,000
Salaries 106,000 106,000 106,000 318,000
Utlities 7,000 7,000 7,000 21,000
Equipment 16,000 40,000 56,000
Dividends Paid 15,000 15,000
Total disbursements $ 630,000 $ 705,000 $ 635,000 $ 1,970,000
Cash excess (deficiency) $ (120,000) $ 40,000 $ 280,000 $ 200,000
Financing:
Borrowing 170,000 10,000 - 180,000
Repayment (principal) (180,000) (180,000)
Interest payment (5,300) (5,300)
Total financing 170,000 10,000 (185,300) (5,300)
Ending cash balance $ 50,000 $ 50,000 $ 94,700 $ 194,700
Need Help in the below Section: 12 Percent Anual Interest Rate
Calculations for June financing section:
Cash available for repayment 230000
Interest on quarterly borrowing -6900
Interest payment (all or nothing) -6900
Remaining cash available for principal repayment 236900
Remaining cash available rounded down 236900
Total borrowing for April and May 170,000 10,000
Total borrowing for April and May rounded down 170,000 10,000
Principal repayment -180000

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Tod Thiel
Tod ThielLv2
29 Sep 2019

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