In October, a firm had an ending cash balance of $35,000. In November, the firm had a net cash flow of $40,000. The minimum cash balance required by the firm is $25,000. At the end of November, the firm had ________.

Question

Quizplus · Accepted Answer

The ending cash balance in October was $35,000. With a net cash flow of $40,000 in November, the ending cash balance for November is $75,000. The minimum required is $25,000, so the excess cash balance is $75,000 - $25,000 = $50,000.

In October, a Firm Had an Ending Cash Balance of $35,000