For the month of July, Shalom Company, predicts total cash collections and disbursements of P485,000 and P440,000 respectively. For March, Shalom Company, estimates that its beginning cash balance will be P55,000. If Shalom Company just wants to maintain its beginning cash balance at the end of July, will there be a need for Shalom Company to borrow money from a bank? Yes or no? Use the underlined words as your choice. Input answers in capital letters.
Master Budget
A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.
Sales Budget and Selling
A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.
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