Accounting: The following information was taken from Kingbird

Accounting: The following information was taken from Kingbird

Subject: Business    / Accounting
Question

The following information was taken from Kingbird, Inc. cash budget for the month of July:

Beginning cash balance    $143000
Cash receipts    137000
Cash disbursements

194000

If the company has a policy of maintaining an end of the month cash balance of $143000, the amount the company would have to borrow is

Second Part: The following information was taken from Blue Spruce Corp. cash budget for the month June

Beginning cash balance    $80000
Cash receipts    108000
Cash disbursements

136000

If the company has a policy of maintaining an end of the month cash balance of $70000, the amount the company would have to borrow is

Third Part: The following credit sales are budgeted by Kingbird, Inc.:

February    228000
March    319200
April

273600

The company’s past experience indicates that 60% of the accounts receivable are collected in the month of sale, 40% in the month following the sale. The anticipated cash inflow for the month of April is