# Cash Budget – Nursing Experts Help

July 21, 2021
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July 21, 2021

Revision to Homework!!!! Need Excel Sheet and Word
Document

parts of your textbook, which refer to cash flow and financial planning.

To avoid any uncertainty
regarding his business’ financing needs at the time when such needs may arise,
Cyrus Brown wants to develop a cash budget for his latest venture: Cyrus Brown
Manufacturing (CBM). He has estimated the following sales forecast for CBM over
the next 9 months:

March

\$100,000

April

\$275,000

May

\$320,000

June

\$450,000

July

\$700,000

August

\$700,000

September

\$825,000

October

\$500,000

November

\$115,000

He has also gathered the
following collection estimates regarding the forecast sales:

Payment
collection within the month of sale = 25%Payment
collection the month following sales = 55%Payment
collection the second month following sales = 20%

Payments for direct
manufacturing costs like raw materials and labor are made during the month that
follows the one in which such costs have been incurred. These costs are
estimated as follows:

March

\$187,500

April

\$206,250

May

\$375,000

June

\$337,500

July

\$431,250

August

\$640,000

September

\$395,000

October

\$425,000

information is as follows:

salaries will approximately amount to \$35,000 a month.Lease
payments around \$15,000 a month.Depreciation
charges, \$15,000 a month.A one-time
new plant investment in the amount of \$95,000 is expected to be incurred
and paid in June.Income
tax payments estimated to be around \$55,000 will be due in both June and
September.And
finally, miscellaneous costs are estimated to be around \$10,000 a month.Cash
on hand on March 1 will be around \$50,000, and a minimum cash balance of
\$50,000 shall be on hand at all times.

this assignment, please show all work, including formulas and calculations used
to arrive at the financial values.

Group Project Guidelines

As a group, prepare a monthly cash budget for Cyrus Brown Manufacturing for the 9-month period of March through November.Use Excel to prepare the monthly cash budget.Based on your cash budget findings, answer the following questions:Will the company need any outside financing?What is the minimum line of credit that CBM will need?What do you think of CBM’s cash position during the budget period? Do you see any concerns for the company in this regard?If you were a bank manager, would you want CBM as your client? Why or why not?It is up to the members of the group to divide the assignment tasks evenly. You will be graded on group participation