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Use the original schedule for cash receipts completed in Exercise E22- 27, Requirement 1 and the schedule for cash payments completed in Exercise E22- 28 to complete a cash budget for Cramer Company. Additional information: Cramer’s beginning cash balance is $ 5,000 and Cramer desires to maintain a minimum ending cash balance of 5,000. Cramer borrows cash as needed at the beginning of each month in increments of $ 1,000 and repays the amounts borrowed in increments of $ 1,000 at the beginning of months when excess cash is avail-able. The interest rate on amounts borrowed is 12% per year. Interest is paid at the beginning of the month on the outstanding balance from the previous month.
Apr 08 2020 Read more Less More
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