ACCT504 Practice Case Study 3 on Cash Budgeting

This is a practice case study to help you become familiar with how to create a comprehensive cash budget. The cash budget relates to TCO D and is discussed in Chapter 7. Your Professor will provide the solution by the end of Week 5 in Doc Sharing.

The actual case study assignment should be uploaded by 11:59PM Mountain time of the Sunday ending Week 6 to the Week 6 Assignment Dropbox. You are encouraged to use the Excel template file provided in Doc Sharing.

The Cambridge Company has budgeted sales revenues as follows:

   Jan          Feb              Mar

Credit sales 45,000 36,000 27,000 Cash sales 27,000 76,500 58,500 Total sales 72,000 112,500 85,500

Past experience indicates that 60% of the credit sales will be collected...