The owners of a business are drawing up a cash flow forecast for January, February and...

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The owners of a business are drawing up a cash flow forecast for January, February and March. They estimate that in January, revenue will be £20,000. This is expected to rise by 25% each month up to and including March. This is due to the owners spending £4,000 on marketing in January. Other costs are as follows: £6,250 per month on wages • £1,050 loan repayments in February and March • Additional costs per month equal to 15% of monthly revenue The opening balance is £15,000. Using the information, complete the cash flow forecast below. January February Inflows Revenue Total Inflows Outflows Marketing Wages Loan Repayments Additional Costs Total Outflows Net Cash Flow Opening Balance Closing Balance March The owners of a business are drawing up a cash flow forecast for January, February and March. They estimate that in January, revenue will be £20,000. This is expected to rise by 25% each month up to and including March. This is due to the owners spending £4,000 on marketing in January. Other costs are as follows: £6,250 per month on wages • £1,050 loan repayments in February and March • Additional costs per month equal to 15% of monthly revenue The opening balance is £15,000. Using the information, complete the cash flow forecast below. January February Inflows Revenue Total Inflows Outflows Marketing Wages Loan Repayments Additional Costs Total Outflows Net Cash Flow Opening Balance Closing Balance March

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To complete the cash flow forecast we will calculate the inflows and outflows for each month and upd... View the full answer