The annual cash budget not only shows the amount of financing needed for the year,but also when the funds will be needed.

Question

Quizplus · Accepted Answer

The annual cash budget not only provides a projection of cash inflows and outflows for the year, but it also indicates when additional financing may be required to cover any deficits. Therefore, it not only shows the amount of financing needed but also the timing of when funds will be needed.

The Annual Cash Budget Not Only Shows the Amount of Financing