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Unformatted text preview: $3,300,000 Impact of transactions on cash: Common stock sale $1,250,000 Bond retirement - 2,000,000 Dividend payment - 1,000,000 Net income 2,000,000 Depreciation cash flow 1,500,000 Investment in fixed assets* - 1,300,000 $ 450,000 *If accumulated depreciation increased by $1,500,000 and net fixed assets declined by only $200,000, then the company must have invested $1,300,000 in new gross fixed assets. 4. Your company is constructing a monthly cash budget for the month of October, November, and December. You have been given the following data: It is currently the end of September (beginning of October). Actual sales were $100 in August and $200 in September. Forecasted sales are $300 for October, $300 for November and $200 for December. Collections of sales are 10 percent in the month of sale, 65 percent the month after sale, and 20% two months after sale....
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- Spring '08