Business, 24.04.2020 22:46, ambriyaarmstrong01

Karim Corp. requires a minimum $8,100 cash balance. If necessary, loans are taken to meet this requirement at a cost of 2% interest per month (paid monthly). Any excess cash is used to repay loans at month-end. The cash balance on July 1 is $8,500 and the company has no outstanding loans. Forecasted cash receipts (other than for loans received) and forecasted cash payments (other than for loan or interest payments) follow.

July August September
Cash receipts $ 24,100 $ 32,100 $ 40,100
Cash payments 28,150 30,100 32,100

Prepare a cash budget for July, August, and September. (Negative balances and Loan repayment amounts (if any) should be indicated with minus sign. Round your final answers to the nearest whole dollar.)

KARIM CORP.
Cash Budget
For July, August, and September
July August September
Beginning cash balance $8,500
Cash receipts 24,100
Total cash available 32,600
Cash payments
Interest revenue
Preliminary cash balance
Additional loan (loan repayment)
Ending cash balance
Loan balance
Loan balance - Beginning of month $0
Additional loan (loan repayment)
Loan balance - End of month

Answers: 1

Show answers

Other questions on the subject: Business

Business, 21.06.2019 15:30, Andrebutrus

Should the government be downsized? which functions should be cut back? which ones should be expanded?

Answers: 2

continue

Business, 21.06.2019 16:30, yasminothman02

Which type of data does your company collect from customers or potential customers? a. positioning datab. market share datac. primary datad. secondary data select the best answer from the choices provided

Answers: 1

continue

Business, 21.06.2019 20:40, brai9206

Which of the following explains why the government sets a required reserve ratio for private banks? a. to allow the government to control the interest rate charged on loans. b. to prevent banks from printing too much money and causing inflation. c. to make sure banks don't run out of money when customers make withdrawals. d. to enable the regulation of risk levels in the decision process of offering loans. 2b2t

Answers: 1

continue

Business, 22.06.2019 13:00, ksteele1

Apopular low-cost airline, parson corp., has gone out of business. although the service and price provided by the airline was what customers wanted, the larger airlines were able to drive the low-cost airline out of business through an aggressive price war. which component of the competitive environment does this illustrate? a) threat of new entrants b)competitors c) economic factors d) customers d) regulators

Answers: 1

continue

Do you know the correct answer?

Karim Corp. requires a minimum $8,100 cash balance. If necessary, loans are taken to meet this requi...