When estimating a cash budget,which of the following items should the firm NOT include in the process?
A)taxes paid by creditors
B)commission payments paid to sales personnel
C)utility bills
D)fixed cash expenses

Question

Quizplus · Accepted Answer

Taxes paid by creditors are not a cash expense of the firm and should not be included in the cash budget as it does not affect the firm's cash inflow or outflow. The other options, such as commission payments, utility bills, and fixed cash expenses, should be included in the cash budget as they are cash outflows that directly impact the firm's cash position.

When Estimating a Cash Budget,which of the Following Items Should