Sharpe's Budget Problem - Essay Example

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Sharpe's Budget Problem

The cash budget should include the all the costs likely to be paid and cash to be received (Crosson, Power, and Needles, 2011). The direct cost are the expenses incurable which are directly associated with the revenue sources, and/or can be directly apportioned to that source of the revenue with a high degree of accuracy. The cash budget should be monitored closely so as to establish how closely the company has adhered to meeting its objectives with respects to its finances (Hilton, Thorne and Lang field-Smith, 2006). In order to achieve this, it is expedient to prepare a variance report. A variance statement will contrasts the expected cash outflow and expenditure. ...
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Sharpe’s Budget problem Instructor College Outline Cash budget Workings Notes 1 cash collections Notes – 2 collections Notes – 3 purchases payments Payment of notes payable of $ 200,000 Reference List Cash budget A budget is a detailed cash inflow and outflow statement that outlines the estimated expenditure and cash collected…
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