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ABC D E G H j 41 42 Assume actual cash receipts and disbursements will follow the pattern below: (Note: Receivables and 43 Payables of 12/31/x1 will have a cash impact in 20x2.) 44 52 1. 22.00% of sales for the year are made in November and December. Since our customers have 60 day terms 53 those funds will be collected be collected in January and February. 54 2. 81.00% of material purchases will be paid during the year, the remaining portion will be paid in Januay or February 55 3. All other manufacturing and operating costs are paid for when incurred. 56 4. The budgeted depreciation expense is equal to 0.6% of the fixed manufacturing, selling and administrative expenses. 64 5. Minimum Cash Balance needed for 20x2, $175,000 65 See The Light 66 Projected Cash Budget 67 For the Year Ending December 31, 20x2 Round dollars to two places, S#.## Beginning Cash Balance Cash Inflows: Sales Collections: Account Receivable (Sales last year not collected) Sales made and collected in 20x2 Cash Available {10.02) {10.03) {10.04) {10.05) 68 76 77 78 79 80 88 89 90 91 92 100 101 102 103 104 112 113 114 115 116 117 118 119 120 121 122 123 124 Cash Outflows: Purchases Accounts Payable (Purchases last year) Purchases made and paid for in 20x2 Other Manufacturing Costs Direct Labor Total Manufacturing Overhead Selling and Administrative Less: Depreciation Total Cash Outflows Budgeted Cash Balance before financing Needed Minimum Balance Amount to be borrowed (if any) Budgeted Cash Balance {10.06) {10.07) {10.08) {10.09) {10.10) A 10 11