April May June July August September

Sales 640,000.00 600,000.00 550,000.00 550,000.00 580,000.00 660,000.00

Credit Sales (90% of sales) 576,000.00 540,000.00 495,000.00 495,000.00 522,000.00 594,000.00
Cash collections
20% 115,200.00 108,000.00 99,000.00 99,000.00 104,400.00
80% 460,800.00 432,000.00 396,000.00 396,000.00
Total cash collections 568,800.00 531,000.00 495,000.00 500,400.00
Total cash 568,800.00 531,000.00 495,000.00 500,400.00

Purchases 260,000.00 240,000.00 240,000.00 360,000.00 400,000.00 340,000.00

Cash payments
40% 104,000.00 96,000.00 96,000.00 144,000.00 160,000.00
60% 156,000.00 144,000.00 144,000.00 216,000.00
Cash payments for purchases 252,000.00 240,000.00 288,000.00 376,000.00

CBA Corporation
Cash Budget
June July August September
Cash balance, beginning 40,000.00 100,000.00 100,000.00 100,000.00
Add: Total cash collections 568,800.00 531,000.00 495,000.00 500,400.00
Cash sales 55,000.00 55,000.00 58,000.00 66,000.00
Total cash available 663,800.00 686,000.00 653,000.00 666,400.00
Less: Expenses
Cash payments for purchases 252,000.00 240,000.00 288,000.00 376,000.00
Labor expense 55,000.00 55,000.00 58,000.00 66,000.00 Admin:
To maintain a
Overhead expense 24,000.00 24,000.00 24,000.00 24,000.00
maximum cash
interest payment 60,000.00 60,000.00 balance of P100,000,
cash dividend 100,000.00 the excess amount was
used to buy trading
Tax expense 50,000.00 50,000.00 securities.
Capital outlay 600,000.00
Total cash disbursements 541,000.00 319,000.00 370,000.00 1,176,000.00
Admin:
Cash surplus/deficit 122,800.00 367,000.00 283,000.00 (509,600.00) This is the amount of
Financing/Investment: trading securities sold to
cover the cash shortage.
 Admin:
This is the amount of
trading securities sold to
Trading Securities (22,800.00) (267,000.00) (183,000.00) 472,800.00 cover the cash shortage.

Cummulative Trading Securities 22,800.00 289,800.00 472,800.00 -

Borrowing 66,800.00 Admin:
This is the amount that we still
Cash balance, ending 100,000.00 100,000.00 100,000.00 30,000.00 need to borrow since the trading
securities we had are not enough
to maintain a P30,000 minimum
cash balance.

Admin:
This is the accumulated
amount of trading
securities bought.