Nancy Co has budgeted the following for a month:
$
Accounting net profit
89000
Increase in receivables
31150
Increase in inventory
17800
Increase in payables
Depreciation
62300
Increase in allowances for doubtful debts
8900
Increase in taxation allowance
26700
What is the budgeted increase in cash balances for the month?
Budgeted increase in cash balances is $________
The correct answer is: $155750.
Receivables
Inventory
Payables
Provisions
Total adjustments to profit
Profit
Total movement in cash balances
The credit balances are added back to the profit so that total movement is $155750.
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