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MCS,PHD
Argosy University/ Phoniex University/
Nov-2005 - Oct-2011
Professor
Phoniex University
Oct-2001 - Nov-2016
18.2    Cash Balance for Greenwell Corporation The Greenwell Corporation has a
60-day average collection period and wishes to maintain a $160 million minimum cash balance. Based on this and the information given in the following cash budget, complete the cash budget. What conclusions do you draw?
Â
Â
|
GREENWELL CORPORATION Cash Budget (in millions) |
|
|
Q1Â Â Â Â Â Â Â Â Â Â Â Â Â Q2Â Â Â Â Â Â Â Â Â Â Â Â Â Q3Â Â Â Â Â Â Â Â Â Â Â Â Â Q4 |
|
|
Beginning receivables |
$240 |
|
Sales |
150Â Â Â Â Â Â Â Â Â Â $165Â Â Â Â Â Â Â Â Â Â $180Â Â Â Â Â Â Â Â Â Â $135 |
|
Cash collections |
Â
|
|
Ending receivables |
                                                               |
|
Total cash collections |
 |
|
Total cash disbursements |
  170            160            185            190 |
|
Net cash inflow |
Â
|
|
Beginning cash balance |
$Â 45 |
|
Net cash inflow |
Â
|
|
Ending cash balance |
                                                               |
|
Minimum cash balance |
                                                               |
|
Cumulative surplus (deficit) |
                                                               |
Â
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