Personal Budget At the beginning of the school year, Craig Kovar decided to prepare a cash budget for the months of September, October, November, and December. The budget must plan

Personal Budget At the beginning of the school year, Craig Kovar decided to prepare a cash budget for the months of September, October, November, and December. The budget must plan for enough cash on December 31 to pay the spring semester tuition, which is the same as the fall tuition. The following information relates to the budget: Cash balance, September 1 (from a summer job) $6,250 Purchase season football tickets in September 90 Additional entertainment for each month 220 Pay fall semester tuition in September 3,400 Pay rent at the beginning of each month 300 Pay for food each month 170 Pay apartment deposit on September 2 (to be returned December 15) 400 Part-time job earnings each month (net of taxes) 780 Transcribed Image Text: Craig Kovar
Cash Budget
For the Four Months Ending December 31
September october November December
Estimated cash receipts from:
Part-time job v
Deposit v
Total cash receipts
Less estimated cash payments for:
Season football tickets v
Additional entertainment v
Tuition v
Rent v
Food
Deposit v
Total cash payments
Cash increase (decrease)
Plus cash balance at beginning of month v
Cash balance at end of month
00 Transcribed Image Text: b. Are the four monthly budgets that are presented prepared as static budgets or flexible budgets?
Static v
c. are the budget implications for Craig Kovar?
Craig can see that his present plan will not provide v
sufficient cash. If Craig did not budget but went ahead with the original plan, he would be $
short v at the end of December, with no time left to adjust.

Do you need us to help you on this or any other assignment?


Make an Order Now
0 replies

Leave a Reply

Want to join the discussion?
Feel free to contribute!

Leave a Reply

Your email address will not be published.