Which of the following is not a component of the cash budget?
A)Budgeted cash collections
B)Budgeted cash payments
C)Depreciation expense
D)Cash borrowed or repaid

Question

Quizplus · Accepted Answer

Depreciation expense is not a component of the cash budget as it is a non-cash expense that does not affect the actual cash flows of the entity. The other options, budgeted cash collections, budgeted cash payments, and cash borrowed or repaid, all directly impact the cash position of the entity and hence are components of the cash budget.

Which of the Following Is Not a Component of the Cash