Explore BrainMass

Explore BrainMass

    Description of Accounting: Cash budget

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    Please help with the following problem.

    Signal Florists (SF) operates a retail flower shop. Their sales for October total $5,000. They have projected revenue for the next three months as follows:

    November $12,000
    December $23,000
    January $8,000
    February $10,000

    SF allows its customers a 3% discount if they pay cash and otherwise allows 30 days credit. Only 10% of their customers take the discount and pay in the month of purchase. The remaining 90% pay in the month following purchase.

    Prepare a cash inflow budget for December, January, and February.

    © BrainMass Inc. brainmass.com June 4, 2020, 1:22 am ad1c9bdddf
    https://brainmass.com/business/cash-budgeting/description-accounting-cash-budget-395240

    Solution Preview

    Problem: Prepare a cash inflow budget for December, January, and February.

    Solution:
    The solution is presented in a Word document.

    Thank you.

    FINANCE

    29. Signal Florists (SF) operates a retail flower shop. Their sales for October total $5,000. ...

    Solution Summary

    The problem deals with calculating the cash inflows for three months from provided information. It helps with preparing a cash inflow budget. Step by step calculations are given.

    $2.19

    ADVERTISEMENT