Asked by Collin Shaffer on May 10, 2024
Verified
Which of the following does not appear as a separate section on the cash budget?
A) Cash receipts
B) Cash disbursements
C) Capital expenditures
D) Financing
Cash Budget
A financial plan that estimates the cash inflows and outflows over a specific period, helping manage cash balance and ensure solvency.
Capital Expenditures
Expenditures that increase the company’s investment in productive facilities.
- Investigate the circulation of funds through the development of a cash budget.
Verified Answer
NP
Noorfatihah PirdausMay 17, 2024
Final Answer :
C
Explanation :
The cash budget typically includes separate sections for cash receipts (detailing sources of cash inflows), cash disbursements (identifying where cash outflows are going), financing (outlining any planned borrowing or debt repayments), and short-term capital expenditures (not long-term, which would be in the capital budget). Therefore, choice C, capital expenditures, does not appear as a separate section on the cash budget.
Learning Objectives
- Investigate the circulation of funds through the development of a cash budget.