reet Inc. is preparing its cash budget for November. The budgeted beginning cash balance is $11,000. Budgeted cash receipts total $126,000 and budgeted cash disbursements total $130,000. The desired ending cash balance is $20,000. The company can borrow up to $170,000 at any time from a local bank, with interest not due until the following month. Required: Prepare the company's cash budget for November in good form. Make sure to indicate what borrowing, if any, would be needed to attain the desired ending cash balance.

reet Inc. is preparing its cash budget for November. The budgeted beginning cash balance is $11,000. Budgeted cash receipts total $126,000 and budgeted cash disbursements total $130,000. The desired ending cash balance is $20,000. The company can borrow up to $170,000 at any time from a local bank, with interest not due until the following month. Required: Prepare the company's cash budget for November in good form. Make sure to indicate what borrowing, if any, would be needed to attain the desired ending cash balance.

Entrepreneurial Finance

6th Edition

ISBN:9781337635653

Author:Leach

Publisher:Leach

Chapter6: Managing Cash Flow

Section: Chapter Questions

Problem 1EP

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Prepare the company's cash budget for November in good form. Make sure to indicate what borrowing, if any, would be needed to attain the desired ending cash balance.

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