Big Bear Ski Lodge's cash budget for the month of March 2015 shows a negative amount. Due to the fact that the months of January and February were quite lucrative and showed positive amounts, the finance manager will not borrow any money in the short term to cover for March's deficit.

Question

Quizplus · Accepted Answer

It is not mentioned in the statement whether the cash reserve from January and February will be used to cover March's deficit or not. Therefore, it cannot be concluded whether the finance manager will borrow money or not.

Big Bear Ski Lodge's Cash Budget for the Month of March