The cash budget summarises the cash flows into and out of a company over a period of time.

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A cash budget is a tool used by businesses to summarise cash inflows and outflows over a period of time, typically a month or a year. It helps a business to plan and manage its cash position, ensuring that it has sufficient cash on hand to meet its financial obligations. The cash budget takes into account all of the company's sources of cash, such as sales revenue and investments, as well as its expenses, including salaries, rent, and cost of goods sold. By forecasting its cash flow, a company can identify potential shortfalls and take steps to address them before they become a problem.

The Cash Budget Summarises the Cash Flows into and Out