PRACTICE CASE STUDY 3 - Cash Budget Template
SCHEDULE OF EXPECTED CASH COLLECTIONS FROM CUSTOMERS:
Credit Sales February
July 39,600
August
September
Total Cash Collections 39,600
SCHEDULE FOR EXPECTED PAYMENTS FOR PURCHASE OF INVENTORY
Inventory purchases February
July 85,500
August
September
Total Payments for Inventory Purchases 85,500
Oxford Company
Cash Budget
For the Two Months of February and March
February
Cash balance $15,000
Add: Receipts
Collections from customers 39,600
Sale of plant assets 18,525
Sale of new common stock
Cash sales 76,500
Total receipts 134,625
Total Available Cash 149,625
Less: Disbursements
Purchases of inventory 85,500
Operating expenses 10,125
Selling and administrative expenses 18,750
Dividends 28,500
Equipment purchase
Total disbursements 142,875
Excess (deficiency of available cash over disbursements) 6,750
Financing
Borrowings 8,250
Repayments
Ending cash balance $15,000
SCHEDULE OF EXPECTED CASH COLLECTIONS FROM CUSTOMERS:
Credit Sales February
July 39,600
August
September
Total Cash Collections 39,600
SCHEDULE FOR EXPECTED PAYMENTS FOR PURCHASE OF INVENTORY
Inventory purchases February
July 85,500
August
September
Total Payments for Inventory Purchases 85,500
Oxford Company
Cash Budget
For the Two Months of February and March
February
Cash balance $15,000
Add: Receipts
Collections from customers 39,600
Sale of plant assets 18,525
Sale of new common stock
Cash sales 76,500
Total receipts 134,625
Total Available Cash 149,625
Less: Disbursements
Purchases of inventory 85,500
Operating expenses 10,125
Selling and administrative expenses 18,750
Dividends 28,500
Equipment purchase
Total disbursements 142,875
Excess (deficiency of available cash over disbursements) 6,750
Financing
Borrowings 8,250
Repayments
Ending cash balance $15,000
