Foyert Corp. requires a minimum $ 30,000 cash balance. If necessary, loans are taken to meet this requirement at a cost of 1% interest per month (paid monthly). Any excess cash is used to repay loans at month-end. The cash balance on October 1 is $ 30,000 and the company has an outstanding loan of $ 10,000. Forecasted cash receipts (other than for loans received) and forecasted cash payments (other than for loan or interest payments) follow. Prepare a cash budget for October, November, and December.

Round interest payments to the nearest wholedollar.

  • CreatedNovember 29, 2013
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