Prepare your personal cash budget for next month. Keep in mind the following suggestions as you prepare
Question:
Prepare your personal cash budget for next month. Keep in mind the following suggestions as you prepare your budget:
a. Cash inflows. Your sources of cash include your payroll earnings, if any; gifts; scholarships; tax refunds; dividends and interest; and income from self-employment.
b. Cash outflows. When estimating next month’s cash outflows, include any of the following that may apply to your situation:
i. Household expenses (rent or mortgage, utilities, maintenance, home furnishings, telephone/cellphone, Internet, cable TV, household supplies, groceries)
ii. Education (tuition, fees, textbooks, supplies)
iii. Work (transportation, clothing)
iv. Clothing (purchases, cleaning, laundry)
v. Automobile (auto payments, fuel, repairs) or other transportation (bus, train)
vi. Insurance premiums
• Renters (or homeowners)
• Auto
• Health
• Life
vii. Taxes (income, real estate)
viii. Savings and investments
ix. Entertainment/recreation (health club, vacation/travel, dining, movies)
x. Debt (credit cards, installment loans)
xi. Miscellaneous (charitable contributions, childcare, gifts, medical expenses)
c. Beginning cash balance . This amount can be based on a minimum cash balance you keep in your chequing account. It should include only the cash available for your use; do not include investments in retirement plans should not be included.
Step by Step Answer:
Contemporary Business
ISBN: 9781119905769
4th Canadian Edition
Authors: Louis E. Boone, David L. Kurtz, Michael H. Khan, Brahm Canzer, Rosalie Harms, Peter Moreira