\nPaper details:
\nSee Assignment details
\nWeek 5 Group Project
\nAssignment Description
\nPlease read the relevant parts of your textbook, which refer to cash flow and financial planning.
\nTo avoid any uncertainty regarding his business’ financing needs at the time when such needs may arise, Cyrus
\nBrown wants to develop a cash budget for his latest venture: Cyrus Brown Manufacturing (CBM). He has
\nestimated the following sales forecast for CBM over the next 9 months:
\nMarch $100,000
\nApril $275,000
\nMay $320,000
\nJune $450,000
\nJuly $700,000
\nAugust $700,000
\nSeptember $825,000
\nOctober $500,000
\nNovember $115,000
\nHe has also gathered the following collection estimates regarding the forecast sales:
\nPayment
\ncollection within the month of sale = 25%
\nPayment
\ncollection the month following sales = 55%
\nPayment
\ncollection the second month following sales = 20%
\nPayments for direct manufacturing costs like raw materials and labor are made during the month that follows the
\none in which such costs have been incurred. These costs are estimated as follows:
\nMarch $187,500
\nApril $206,250
\nMay $375,000
\nJune $337,500
\nJuly $431,250
\nAugust $640,000
\nSeptember $395,000
\nOctober $425,000
\nAdditional financial information is as follows:
\nAdministrative
\nsalaries will approximately amount to $35,000 a month.
\nLease
\npayments around $15,000 a month.
\nDepreciation
\ncharges, $15,000 a month.
\nA
\none?time new plant investment in the amount of $95,000 is expected to be incurred and paid in June.
\nIncome
\ntax payments estimated to be around $55,000 will be due in both June and September.
\nAnd
\nfinally, miscellaneous costs are estimated to be around $10,000 a month.
\nCash
\non hand on March 1 will be around $50,000, and a minimum cash balance of $50,000 shall be on hand at
\nall times.
\nTo receive full credit on this assignment, please show all work, including formulas and calculations used to arrive
\nat the financial values.
\nGroup Project Guidelines
\nAs
\na group, prepare a monthly cash budget for Cyrus Brown Manufacturing for the 9?month period of March
\n9\/17\/2016 Dashboard | WriteDom.com
\nhttp:\/\/writedom.com\/dashboard\/assignments\/183056 2\/2
\nthrough November.
\noUse Excel to prepare the monthly cash budget.
\nBased
\non your cash budget findings, answer the following questions:
\noWill the company need any outside financing?
\noWhat is the minimum line of credit that CBM will need?
\noWhat do you think of CBM’s cash position during the budget period? Do?????? you see any concerns for the
\ncompany in this regard?
\noIf you were a bank manager, would you want CBM as your client? Why or why not?
\nIt
\nis up to the members of the group to divide the assignment tasks evenly. You will be graded on group
\nparticipation<\/p>\n","protected":false},"excerpt":{"rendered":"
Paper details: See Assignment details Week 5 Group Project Assignment Description Please read the relevant parts of your textbook, which refer to cash flow and financial planning. To avoid any uncertainty regarding his business’ financing needs at the time when Read More …<\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-1059","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts\/1059","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/comments?post=1059"}],"version-history":[{"count":0,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts\/1059\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/media?parent=1059"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/categories?post=1059"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/tags?post=1059"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}