Schedule of Cash Receipts

December January February March

Sales 4,600,000
(1)
6,400,000
(2)
11,200,000
(3)
8,400,000
(4)

Collections of A/R:
From current month 1,840,000 2,560,000 (5) 4,480,000 (6) 3,360,000 (7)
From last month 2,760,000 (8)
3,840,000 (9)
6,720,000(10)
Total cash receipts 5,320,000 (11) 8,320,000 (12) 10,080,000 (13)

Schedule of Cash Disbursements

December January February March

Purchases 1,920,000 (14) 3,360,000 (15) 2,520,000 (16) 2,100,000 (17)

Payment for purchases 1,920,000 (18) 3,360,000 (19) 2,520,000 (20)

Labor expenses 3,920,000 (21) 2,940,000 (22) 2,450,000 (23)

Factory overhead 650,000 (24) 670,000 (25)

670,000 (26)

Selling and admin. Expenses 1,275,000 (27) 1,285,000 (28) 1,310,000 (29)

New equipment 1,500,000 (30)

Taxes 1,600,000 (31)

Dividends 650,000 (32)

Total cash disbursements 7,765,000 (33) 9,755,000 (34) 9,200,000(35)

Cash Budget

December January February March

Total cash receipts 5,320,000
(36)
8,320,000 (37)
10,080,000 (38)

Less: Total cash disbursements 7,765,000 (39) 9,755,000 (40) 9,200,000 (41)

Net cash flow -2,445,000 (41)

-1,435,000 (43) 8,800,000 (44)

Plus: Beginning cash 1,500,000

(45)
750,000
(46)
750,000
(47)

Closing cash (before borrowing) -945,000 (48)

-685,000
(49)
9,550,000
(50)

Surplus (Deficit） -1,695,000 (51) -1,435,000 (52) 8,800,000 (53)

Borrowing (repayment) 1,695,000 (54) 1,425,000 (55) -3,130,000 (56)

Closing cash (after borrowing) 750,000 (57) 750,000 (58) 6,420,000 (59)

Cumulative borrowing 1,695,000 (60) 3,120,000 (61) 0 (62)