1 answer

Karim Corp. requires a minimum $10,000 cash balance. Loans taken to meet this requirement cost 1%...

Question:

Karim Corp. requires a minimum $10,000 cash balance. Loans taken to meet this requirement cost 1% interest per month (paid monthly). Any excess cash is used to repay loans at month-end. The cash balance on July 1 is $10,400, 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 $ 26,000 $ 34,000 $ 42,000
Cash payments 31,000 32,000 34,000

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.)

Call receipts Cash payments $26,000 $34,000 31,000 32,000 $ 42,000 34,000 Prepare a cash budget for July, August, and Septemb

Call receipts Cash payments $26,000 $34,000 31,000 32,000 $ 42,000 34,000 Prepare a cash budget for July, August, and September. (Negative bolances and Loan repayment amounts indicated with minus sign. Round your final answers to the nearest whole dollar.) KARIM CORP Cash Budget For July, August, and September August $ 10,400 July September Beginning cash balance Total cash available Preliminary cash balance Ending cash balance Loan balance Loan balance - Beginning of month Additional loan (loan repayment) Loan balance - End of month

Answers

Correct Answer:

KARIM CORP

Cash Budget

for July, August & September

July

August

September

Beginning Cash Balance

$                      10,400

$ 10,000.00

$         10,000

Cash receipts

$                      26,000

$ 34,000.00

$         42,000

Total Cash Available

$                      36,400

$ 44,000.00

$         52,000

Cash payments

$                      31,000

$ 32,000.00

$         34,000

Interest Expense

$                                -  

$ 46.00

$            26.46

Preliminary cash balance

$                         5,400

$ 11,954.00

$         17,974

Additional loan (Loan Repayments)

$                         4,600

$ (1,954.00)

$         (2,646)

  

Ending Cash Balance

$                      10,000

$ 10,000.00

$         15,328

Loan Balance

Loan Balance -Beginning of Month

$                                -  

$ 4,600.00

$            2,646

Additional Loan (Loan Repayment)

$                         4,600

$ (1,954.00)

$         (2,646)

Loan Balance End of Month

$                         4,600

$ 2,646.00

$                   -  

End of answer.

Please give a thumbs-up, it will be highly appreciated.

Thanks.

.

Similar Solved Questions

1 answer
The following thermochemical equation is for the reaction of hydrogen sulfide(g) with oxygen(g) to form water(g)...
The following thermochemical equation is for the reaction of hydrogen sulfide(g) with oxygen(g) to form water(g) and sulfur dioxide(g). 2H2S(g) + 3O2(g)2H2O(g) + 2SO2(g) H = -1.04×103 kJ When 13.5 grams of hydrogen sulfide(g) react with excess oxygen(g), kJ of energy are ....
1 answer
H3N H 2Ņ* NH3 + V orm or THE B What is the major product and...
H3N H 2Ņ* NH3 + V orm or THE B What is the major product and mechanism for the reaction of NH3 shown above? with a conoce a NR or NR A с Compound A/SN1 o Compound B/SN2 Compound C/SN1 O Compound B/SN1 No Reaction...
1 answer
Even though hydrophobic amino acids tend to be buried in the interior of a globular protein,...
Even though hydrophobic amino acids tend to be buried in the interior of a globular protein, polar neutral and polar charged amino acids are found in the interior of a globular protein as well. Recall Figure 4.26 of myoglobin. To see how this can happen, consider a model of a generic globular protei...
1 answer
Ohio Limestone Company produces thin limestone sheets used for cosmetic facing on buildings. The following income...
Ohio Limestone Company produces thin limestone sheets used for cosmetic facing on buildings. The following income statement represents the operating results for the year just ended. The company had sales of 1,800 tons during the year The manufacturing capacity of the firm's facilities is 3,000 t...
1 answer
4. A random sample of babies born at a Glasgow maternity hospital was investigated in a...
4. A random sample of babies born at a Glasgow maternity hospital was investigated in a study of health and development through early infancy. All the children studied were singleton births in other words, there were no twins, triplets, etc.). The data listed below are the childrens Head Circumferen...
3 answers
Complete the Frost circle (i.e., use the inscribed polygon method) for the cycloheptatrienyl anion by clicking on the blue boxes to add electrons. Also, classify the aromaticity of the compound. Assume planarity.
Complete the Frost circle (i.e., use the inscribed polygon method) for the cycloheptatrienyl anion by clicking on the blue boxes to add electrons. Also, classify the aromaticity of the compound. Assume planarity....
1 answer
Determining missing items in return and residual income computations Data for Uberto Company are presented in...
Determining missing items in return and residual income computations Data for Uberto Company are presented in the following table of rates of return on investment and residual incomes: Invested Income from Return on Minimum Minimum Acceptable Residual Assets Operations Investment Return Income from ...
1 answer
Consider the two vectors, A and B. À = 5i + 3j B = -2î+4j Answer...
Consider the two vectors, A and B. À = 5i + 3j B = -2î+4j Answer the two questions below, using three significant figures. Part A: What angle (0) does the vector A make with the x-axis? 0 = deg Part B: If the vector C is such that C = A + B, what is the magnitude of C?...
1 answer
2.01 1.00 6.03 5.01 2.00 2.00 45 18 ) Compound H,C9H12, gives a proton NMR spectrum...
2.01 1.00 6.03 5.01 2.00 2.00 45 18 ) Compound H,C9H12, gives a proton NMR spectrum as shown below. Assign a structure. 6.04 1.00 5.00 05 00 4.0 3.5 3.0 2.5 15 10 4.5 6.0 55 5.0 75 7.0 6.5 20...
1 answer
Car Plant (CP) designs and produces automotive parts. In 2017, actual manufacturing overhead is $280,000. CP’s...
Car Plant (CP) designs and produces automotive parts. In 2017, actual manufacturing overhead is $280,000. CP’s simple costing system allocates manufacturing overhead to its three customers based on​ machine-hours and prices its contracts based on full costs. One of its customers has regu...
1 answer
Discuss the application of a national EHR. Discuss whether you support or oppose the concept of...
Discuss the application of a national EHR. Discuss whether you support or oppose the concept of national EHRs. Support with references....
1 answer
All truss members are made with A36 steel having YP- 250MPa. If the truss is subjected...
All truss members are made with A36 steel having YP- 250MPa. If the truss is subjected to the loads as shown, determine a) the force developed in members, df, dg, and eg. b) the cross sectional area of member df in mm2 at FS-1.7 against YP. d) the elongation and strain of member df only (A36 steel, ...
1 answer
7. Translate the following C code to MIPS assembly code. Use a minimum number of instructions....
7. Translate the following C code to MIPS assembly code. Use a minimum number of instructions. Assume that the values of a,b, i and j are in registers Ss0, Ss1, St0, and St1, respectively. Also, assume that register SS2 holds the base address of the array D. for(i-0; i<a; i++) for(j=0 ; j<b; j...
1 answer
IV. Orders of Elements. (a). List the elements of the group 2, XZ, and give the...
IV. Orders of Elements. (a). List the elements of the group 2, XZ, and give the orders of each. (b). Is Z4 Z2 cyclic? If so, find a generator. If not, explain why not....
1 answer
Care and treatment of an inpatient is directed by: a. progress notes b. ancillary test results...
Care and treatment of an inpatient is directed by: a. progress notes b. ancillary test results c. physician orders d. payer guidelines...
1 answer
2. What the mechanisms of affecting Hb (hemoglobin) affinity to O2 -- by O2, CO2, CO,...
2. What the mechanisms of affecting Hb (hemoglobin) affinity to O2 -- by O2, CO2, CO, H+? Please explain in detail....