Month Cash disbursement Cash receipts January 100,000 100,000 February 110,000 90,000 March 110,000 80,000 April 150,000...

Month	Cash disbursement	Cash receipts
January	100,000	100,000
February	110,000	90,000
March	110,000	80,000
April	150,000	100,000
May	180,000	120,000
June	180,000	160,000
July	180,000	200,000
August	180,00	250,000
September	150,000	250,000
October	110,000	200,000
November	100,000	140,000
December	100,000	100,000

Below table shows the monthly estimates of cash disbursement and receipts from January to December 2019 for preparing the cash budgets for Bintang Sdn Bhd. Bintang Sdn Bhd has beginning cash on hand of RM10,000 and the company wishes to maintain this minimum cash level for 2019

Requirements: please step by step clear word typingg

(i) Calculate whether Bintang Sdn Bhd will face a cash need for 2019.

(ii) In which month Bintang Sdn Bhd will face a cash need? In which month the cash need is the maximum?

(iii) Determine whether the cash need (if any) can be repaid within the next year.

Solutions

Expert Solution

ekkarill92 answered 1 year ago

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