PROBLEM 4 - ATLAS PRODUCTS

CASH BUDGET

Dec Jan Feb Mar

Sales
Credit Sales

Cash Receipts
Cash Sales
Credit (25% This Month)
Credit (75% Next Month)
Total collections

Cash Disbursements
Purchases
Wages and Salaries
Rent
Other expenditures
Tax Deposits
Dividends
Equipment
Total Disbursements

Net Monthly Change

Beginning Cash Balance
Credit Line Borrowing (Repayment)
Ending Cash Balance

Cumulative Borrowing

PROBLEM 4 - REVISED CASH/DEBT SECTION

CASH BUDGET

Dec Jan Feb Mar

Net Monthly Change (200,000) 50,000 150,000
Beginning Cash Balance
Credit Line Borrowing (Repayment)
Ending Cash Balance 150,000

Cumulative Borrowing 0 0 0 0
PROBLEM 4 - ATLAS PRODUCTS
CASH BUDGET

Dec Jan Feb Mar

Sales 825,000 730,000 840,000 920,000
Credit Sales 770,000 690,000 780,000 855,000

Cash Receipts
Cash Sales 40,000 60,000 65,000
Credit (25% This Month) 172,500 195,000 213,750
Credit (75% Next Month) 577,500 517,500 585,000
Total collections 790,000 772,500 863,750

Cash Disbursements
Accounts Payable 438,000 504,000 552,000
Wages and Salaries 250,000 290,000 290,000
Rent 27,000 27,000 27,000
Other expenditures 10,000 12,000 14,000
Tax Deposits 105,000
Dividends 40,000
Equipment 75,000
Total Disbursements 830,000 908,000 923,000

Net Monthly Change (40,000) (135,500) (59,250)

Beginning Cash Balance 100,000 100,000 100,000
Credit Line Borrowing (Repayment) 40,000 135,500 59,250
Ending Cash Balance 100,000 100,000 100,000 100,000

Cumulative Borrowing 0 40,000 175,500 234,750

NOTE: Ignores Interest Expense