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Jordan Medical Clinic has budgeted the following cash flows. January February $109,000 $115,000 March $135,000...

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Accounting

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Jordan Medical Clinic has budgeted the following cash flows. January February $109,000 $115,000 March $135,000 Cash receipts Cash payments For inventory purchases For S&A expenses 94,500 35,500 76,500 36,500 89,500 31,500 Jordan Medical had a cash balance of $12,500 on January 1. The company desires to maintain a cash cushion of $8,000. Funds are assumed to be borrowed, in increments of $1,000, and repaid on the last day of each month; the interest rate is 1 percent per month. Repayments may be made in any amount available. Jordan pays its vendors on the last day of the month also. The company had a monthly $40,000 beginning balance in its line of credit liability account from last year's quarterly results. Required Prepare a cash budget. (Round intermediate and final answers to the nearest whole dollar amounts. Any repayments should be indicated with a minus sign.) January February March Cash Budget Section 1: Cash Receipts Total cash available Section 2: Cash Payments Total budgeted disbursements Section 3: Financing Activities

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