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5 February, 14:56

Sedita Inc. is working on its cash budget for July. The budgeted beginning cash balance is $15,000. Budgeted cash receipts total $178,000 and budgeted cash disbursements total $177,000. The desired ending cash balance is $43,000. The excess (deficiency) of cash available over disbursements for July will be:

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  1. 5 February, 16:01
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    Excess of cash available over disbursements for July is $16,000

    Explanation:

    This can be calculated as follows:

    Details Amount ($)

    Budgeted beginning cash balance 15,000

    Budgeted cash receipts 178,000

    Total budgeted cash available 193,000

    Budgeted cash disbursements (177,000)

    Excess of cash available over disbursements 16,000

    Financing ($43,000 - $16,000) 27,000

    Ending cash balance 43,000

    Therefore, excess of cash available over disbursements for July is $16,000
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