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Pletcher Dental Clinic is a medium-sized dental service specializing in family dental care. The clinic is...

Pletcher Dental Clinic is a medium-sized dental service specializing in family dental care. The clinic is currently preparing the master budget for the first 2 quarters of 2017. All that remains in this process is the cash budget. The following information has been collected from other portions of the master budget and elsewhere.

Beginning cash balance $33,030
Required minimum cash balance 27,525
Payment of income taxes (2nd quarter) 4,404
Professional salaries:
    1st quarter 154,140
    2nd quarter 154,140
Interest from investments (2nd quarter) 7,707
Overhead costs:
    1st quarter 84,777
    2nd quarter 110,100
Selling and administrative costs, including
$2,202 depreciation:
    1st quarter 55,050
    2nd quarter 77,070
Purchase of equipment (2nd quarter) 55,050
Sale of equipment (1st quarter) 13,212
Collections from clients:
    1st quarter 258,735
    2nd quarter 418,380
Interest payments (2nd quarter) 220


Prepare a cash budget for each of the first two quarters of 2017.

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ekkarill92 answered 3 years ago
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