Compute the cash inflows-cash outflows and cash budget

Assignment Help Financial Management

Reference no: EM131549298

Company GHI has the following information:

Sales are as follows: $200,000 for December, $300,000 for January, $250,000 for February, $200,000 for March, and $300,000 for April. Accounts Receivable – 40% cash sales in current month, 60% paid in the following month.

Purchases – 50% of next month’s sales, paid one month later.

Salaries - $75,000 per month.

Overhead and Utilities - $60,000 per month.

Interest - $20,000 per month.

December ending cash balance - $60,000.

Minimum desired Monthly cash balance of $50,000.

Compute the Cash Inflows, Cash Outflows, and the Cash Budget for January, February, and March.

Reference no: EM131549298

Questions Cloud

Discuss dimensions - descriptive predictive or explanatory : From the bibliography of your proposed dissertation study, select a peer-reviewed journal article that was done with a quantitative methodology.

Knowledgeable about ransomware : a.) Why should someone studying computer architecture be concerned and knowledgeable about ransomware?

Discuss the assumptions of the capital asset pricing model : Discuss the assumptions of the capital asset pricing model (CAPM), and how do these assumptions relate to investment decision process.

Create a quality management report : Create a quality management report with the status of the project development and the results of executing your quality assurance plan for the week

Compute the cash inflows-cash outflows and cash budget : Compute the Cash Inflows, Cash Outflows, and the Cash Budget for January, February, and March.

What is the effective annual rate : Company ABC needs to raise funds to expand their building. What is the effective annual rate if you borrow the usable funds of $200,000?

Assess marketing philosophy of commercial bank of ethiopia : Assess the marketing philosophy of Commercial Bank of Ethiopia. Which of the philosophies discussed, do you think, is adopted by the bank.

Calculate accumulated depreciation over four years : Calculate accumulated depreciation over four years

Testing and product deployment : What is the final status of the project? Is it ready for delivery and What went right - Was the project completed on time

User Account

All Pages