| | CASH BUDGET WORKSHEET ANSWERS |
| | | FEB | MAR | APR | MAY | JUN | JUL |
| 1 | Cash Collections on Sales |
| | Collections | $30,000 | $30,000 | $30,000 | $40,000 | $50,000 | $60,000 |
| | Month of Sale (20%) | 6,000 | 6,000 | 6,000 | 8,000 | 10,000 |
| | | | 18,000 | 18,000 | 18,000 | 24,000 |
| | | | | 4,500 | 4,500 | 4,500 |
| | Total Cash Collections | | | 28,500 | 30,500 | 38,500 |
| 2 | Raw Materials Payment |
| | Purchases | | 22,500 | 30,000 | 37,500 | 45,000 |
| | Payment | | | 22,500 | 30,000 | 37,500 |
| 3 | Cash Budget |
| | Cash in from collection | | | 28,500 | 30,500 | 38,500 |
| | Cash Out |
| | a) Raw Material Purchases | | | 22,500 | 30,000 | 37,500 |
| | b) Rent, Insurance, and Other | | | 1,000 | 1,000 | 1,000 |
| | c) Wages | | | 3,000 | 4,000 | 5,000 |
| | Total Cash Out | | | 26,500 | 35,000 | 43,500 |
| | Cash gain (loss) | | | 2,000 | (4,500) | (5,000) |
| | Beginning Balance without outside financing | | | 6,000 | 8,000 | 3,500 |
| | Cumulative cash without outside financing | | | 8,000 | 3,500 | (1,500) |
| | Required minimum cash | | | (5,000) | (5,000) | (5,000) |
| | EXCESS CASH | | | $3,000 | ---------- | ---------- |
| | OR |
| | (CUMULATIVE LOAN NEEDS) | | | ---------- | ($1,500) | ($6,500) |
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3.CashBudAnswers.xls
