Question

Use the following information to determine the ending cash balance to be reported on the month ended June 30 cash budget.a. Beginning cash balance on June 1, $94,600.b. Cash receipts from sales, $416,000.c. Budgeted cash disbursements for purchases, $271,000.d. Budgeted cash disbursements for salaries, $95,600.e. Other budgeted cash expenses, $57,600.f. Cash repayment of bank loan, $32,600.g. Budgeted depreciation expense, $34,600.Choose an answer below:$19,200. $53,800. $76,800. $86,400. $111,400.

Answer 1

The ending cash balance to be reported on the month ended June 30 cash budget is $53,800

Step-by-step explanation:

The computation of ending cash balance is shown below:

= Beginning cash balance + cash receipts from sales - budgeted cash disbursements for purchase - Budgeted cash disbursements for salaries - Other budgeted cash expenses - Cash repayment of bank loan

= $94,600 + $416,000 - $271,000 - $95,600 - $57,600 - $32,600

= $53,800

The Budgeted depreciation expense is a non cash expense. So, it is not considered in the computation part.

Hence, the ending cash balance to be reported on the month ended June 30 cash budget is $53,800