On June 30,Kahlil Company's cash balance is $4,000.Kahlil is now preparing their cash budget for the third quarter of the year.The following data is provided: The amount of cash that should be shown in the budgeted balance sheet as of September 30 would be ________.

Question

On June 30,Kahlil Company's cash balance is $4,000.Kahlil is now preparing their cash budget for the third quarter of the year.The following data is provided:  The amount of cash that should be shown in the budgeted balance sheet as of September 30 would be ________.

Quizplus · Accepted Answer

To calculate the ending cash balance for September 30, we need to calculate the total cash receipts and payments for the quarter.

Total Cash Receipts for the quarter: 
July: $14,000 
August: $20,000 
September: $16,000 
Total: $50,000

Total Cash Payments for the quarter: 
July: $12,000 
August: $21,000 
September: $11,000 
Total: $44,000

Net cash inflow/outflow for the quarter: 
$50,000 - $44,000 = $6,000

Adding this to the beginning cash balance of $4,000:

$6,000 + $4,000 = $10,000

Therefore, the amount of cash that should be shown in the budgeted balance sheet as of September 30 would be $7,754 (C).

On June 30,Kahlil Company's Cash Balance Is $4,000