Procter & Gamble needs to prepare a cash budget for the next quarter. The following information is available:

• Beginning Cash Balance: $50,000
• Expected Cash Collections: $200,000
• Expected Cash Payments:
  • Direct Materials: $60,000
  • Direct Labor: $80,000
  • Manufacturing Overhead: $40,000
  • Selling and Administrative Expenses: $30,000

Required:

1. Prepare the cash budget for the quarter.
2. Determine the ending cash balance.
3. Assess whether Procter & Gamble will need additional financing.
4. Provide recommendations for managing cash flows.