A)

Lakewood Laser SkinCare

Forecasted Ending Cash Balance
February 2018 to July 2018
January February March April May
Beginning Cash 15,000 8,475 2,850 5,325
Add: Collections 37,125 41,175 51,075 65,475
Less: Payments 43,650 46,800 48,600 54,675
Unadjusted Cash Balance 8,475 2,850 5,325 16,125
Ending Cash Balance 15,000 8,475 2,850 5,325 16,125

B)
Lakewood Laser SkinCare
Forecasted Ending Cash Balance
February 2018 to July 2018
January February March April May
Beginning Cash 15,000 12,000 12,000 14,475
Add: Collections 37,125 41,175 51,075 65,475
Less: Payments 43,650 46,800 48,600 54,675
Unadjusted Cash Balance 8,475 6,375 14,475 25,275
Add: Borrowing 3,525 5,625 - -
Ending Cash Balance 15,000 12,000 12,000 14,475 25,275

Minimum Cash 12,000

C)
Lakewood Laser SkinCare
Forecasted Ending Cash Balance
February 2018 to July 2018
January February March April May
Beginning Cash 15,000 12,000 12,000 14,437
Add: Collections 37,125 41,175 51,075 65,475
Less: Short-term Interest - 15 38 38
Less: Payments 43,650 46,800 48,600 54,675
Unadjusted Cash Balance 8,475 6,360 14,437 25,199
Add: Borrowing 3,525 5,640 - -
Ending Cash Balance 15,000 12,000 12,000 14,437 25,199

Cumulative Borrowing 3,525 9,165 9,165 9,165

Minimum Cash 12,000

Annual Interest Rate 5%
Monthly Interest Rate 0.42%

D)
Lakewood Laser SkinCare
Forecasted Ending Cash Balance
February 2018 to July 2018
January February March April May
Beginning Cash 15,000 12,000 12,000 12,000
Add: Collections 37,125 41,175 51,075 65,475
Less: Short-term Interest - 15 38 28
Less: Payments 43,650 46,800 48,600 54,675
Unadjusted Cash Balance 8,475 6,360 14,437 22,772
Add: Borrowing 3,525 5,640 (2,437) (6,728)
Ending Cash Balance 15,000 12,000 12,000 12,000 16,044

Cumulative Borrowing 3,525 9,165 6,728 -

Minimum Cash 12,000

Annual Interest Rate 5%
Monthly Interest Rate 0.42%
June July
16,125 29,175
73,125 81,000
60,075 61,200
29,175 48,975
29,175 48,975

June July
25,275 38,325
73,125 81,000
60,075 61,200
38,325 58,125
- -
38,325 58,125

June July
25,199 38,210
73,125 81,000
38 38
60,075 61,200
38,210 57,972
- -
38,210 57,972

9,165 9,165
June July
16,044 29,094
73,125 81,000
- -
60,075 61,200
29,094 48,894
- -
29,094 48,894

- -
 Loblaw Manufacturing
Cash Budget
June 2017 to October 2017
April May June July
Sales 186,875 219,375 279,500 230,750
Collections:
Cash 15% 41,925 34,613
First Month 75% 164,531 209,625
Second Month 10% 18,688 21,938
Total Collections 225,144 266,175
Purchases 55% 153,725 126,913 108,144
Payments:
During Month 40% 49,750 42,392
Month After 60% 92,235 76,148
Total Payments 141,985 118,540
Collections 225,144 266,175
Disbursements:
Inventory Payments 141,985 118,540
Short-term Interest - 139
Other Payments 130,000 121,875
Total Disbursements 271,985 240,554
Beginning Cash Balance 30,000 25,000
Net Additions to Cash (46,841) 25,621
Unadjusted Cash Balance 30,000 (16,841) 50,621
Add: Current Borrowing - 41,841 (25,621)
Ending Cash Balance 30,000 25,000 25,000

Cumulative Borrowing - 41,841 16,220

Minimum Cash Balance 25,000
Discount for Paying in Same Month 2.00%
Annual Interest Rate 4.00%
Monthly Interest Rate 0.33%

Total Interest Cost 194

August September October November
196,625 151,125 123,500 131,625

29,494 22,669 18,525

173,063 147,469 113,344
27,950 23,075 19,663
230,506 193,213 151,531
83,119 67,925 72,394

32,583 26,627 28,378

64,886 49,871 40,755
97,469 76,498 69,133
230,506 193,213 151,531

97,469 76,498 69,133

54 - -
113,750 81,250 73,000
211,273 157,748 142,133
25,000 28,013 63,478
19,233 35,465 9,398
44,233 63,478 72,876
(16,220) - -
28,013 63,478 72,876

- - -
Scenario Summary
0% Payments 10% Payments 20% Payments 30% Payments
During Month During Month During Month During Month
Changing Cells:
$B$13 0% 10% 20% 30%
Result Cells:
Total_Interest_Cost 393 340 288 236
Notes: Current Values column represents values of changing cells at
time Scenario Summary Report was created. Changing cells for each
scenario are highlighted in gray.

It is clear that the total interest cost rises as the company shifts more of its
inventory payments to the future. Therefore, it is more costly to borrow from
suppliers than from the bank because of the lost discounts. The company should
.not engage in this strategy
40% Payments
During Month

40%

194
 Camp and Fevurly Financial Planners
Cash Budget
For the Period January 2015 to June 2015
November December January February
Revenues 100% $ 44,160 $ 41,400 $ 23,000 $ 24,840
Collections:
Cash 70% 16,100 17,388
First Month 29% 12,006 6,670
Bad Debt 1%
Net Collections 28,106 24,058
Disbursements:
Clerical Wages 8,050 8,050
Sales Commissions 25% 10,247 5,693
Partner Salaries 20% 16,394 10,000
Rent Expense 4,025 4,025
Office Equipment Lease 920 920
Utilities 288 288
Total Disbursements 39,924 28,976
Beginning Cash Balance 12,000 10,000
Add: Collections 28,106 24,058
Less: Disbursements 39,924 28,976
Unadjusted Cash Balance 182 5,083
Add: Current Borrowing 9,818 4,918
Ending Cash Balance 12,000 10,000 10,000

Cumulative Borrowing 9,818 14,735

Notes:
Minimum Cash Balance 10,000
Minimum Partner Salary 5,000
Maximum Borrowing Need 18,000 -- Answer to Part B

Monthly Clerical Wages 8,050

Rent Expense 4,025
Office Equipment 920
Utilities 288
Utilities (May & June) 173
al Planners

to June 2015
March April May June January
$ 27,600 $ 34,960 $ 36,800 $ 41,400 $ 23,000

19,320 24,472 25,760 28,980

7,204 8,004 10,138 10,672

26,524 32,476 35,898 39,652

8,050 8,050 8,050 8,050

6,148 6,831 8,653 9,108
10,000 10,930 13,844 14,573
4,025 4,025 4,025 4,025
920 920 920 920
288 288 173 173
29,431 31,044 35,665 36,849
10,000 10,000 10,000 10,000
26,524 32,476 35,898 39,652
29,431 31,044 35,665 36,849
7,093 11,432 10,234 12,803
2,907 (1,432) (234) (2,803) Assumes loans are paid down with any excess cash
10,000 10,000 10,000 10,000

17,643 16,210 15,977 13,173

February March April May June
$ 24,840 $ 27,600 $ 34,960 $ 36,800 $ 41,400
Scenario Summary
Best Case Base Case Worst Case
Changing Cells:
Sales_Adjustment 110% 100% 90%
Result Cells:
Maximum_Borrowing_Need 13,000 18,000 25,000
Notes: Current Values column represents values of changing cells at
time Scenario Summary Report was created. Changing cells for each
scenario are highlighted in gray.
 Idaho Springs Hardware
Cash Budget
For the Period June 2015 to November 2015
April May June July
Revenues 100% $ 56,100 $ 62,700 $ 68,200 $ 80,300
Collections:
Cash 40% 27,280 32,120
First Month 12% 7,524 8,184
Second Month 48% 26,928 30,096
Total Collections 61,732 70,400

Inventory Purchases 45% $ 30,690 $ 36,135 $ 37,620

Payments:
Cash 30% 10,841 11,286
First Month 70% 21,483 25,295
Total Payments 32,324 36,581

Cash Inflows:
Collections from Sales 61,732 70,400

Cash Outflows:
Inventory Payments 32,324 36,581
Hourly Wages and Benefits 10,000 10,000
Salaries and Benefits 14,000 14,000
Interest on Long-term Debt 4,000 4,000
Principal on Long-term Debt 221 221
Maintenance 800 800
Snow Removal - -
Sales Tax Payments 7% 13,090 -
Other taxes 4% 7,480 -
Total Outflows 81,915 65,602

Beginning Cash Balance 15,000 (5,183)

Add: Cash Inflows 61,732 70,400
Less: Cash Outflows 81,915 65,602
Ending Cash Balance 15,000 (5,183) (384)

Minimum Cash Balance 12,000

Hourly Wages and Benefits 10,000

Salaries and Benefits 14,000
Interest on Long-term Debt 4,000
Principal on Long-term Debt 221
Maintenance 800
Snow Removal Costs 200
prings Hardware
ash Budget
ne 2015 to November 2015
August September October November December January
$ 83,600 $ 77,000 $ 64,900 $ 51,700 $ 45,100 $ 39,600

33,440 30,800 25,960 20,680 18,040

9,636 10,032 9,240 7,788 6,204
32,736 38,544 40,128 36,960 31,152
75,812 79,376 75,328 65,428 55,396

$ 34,650 $ 29,205 $ 23,265 $ 20,295 $ 17,820

10,395 8,762 6,980 6,089 5,346

26,334 24,255 20,444 16,286 14,207
36,729 33,017 27,423 22,374 19,553

75,812 79,376 75,328 65,428 55,396

36,729 33,017 27,423 22,374 19,553

10,000 10,000 10,000 10,000 10,000
14,000 14,000 14,000 14,000 14,000
4,000 4,000 4,000 4,000 4,000
221 221 221 221 221
800 800 800 800 800
- - 200 200 200
- 16,863 - - 11,319
- 9,636 - - 6,468
65,750 88,537 56,644 51,595 66,561

(384) 9,678 518 19,202 33,035

75,812 79,376 75,328 65,428 55,396
65,750 88,537 56,644 51,595 66,561
9,678 518 19,202 33,035 21,870
 June July August September October November December
$ 68,200 $ 80,300 $ 83,600 $ 77,000 $ 64,900 $ 51,700 $ 45,100
 January
$ 39,600
 Idaho Springs Hardware
Cash Budget
For the Period June 2015 to November 2015
April May June July
Revenues 100% $ 56,100 $ 62,700 $ 68,200 $ 80,300
Collections:
Cash 40% 27,280 32,120
First Month 12% 7,524 8,184
Second Month 48% 26,928 30,096
Total Collections 61,732 70,400

Inventory Purchases 45% $ 30,690 $ 36,135 $ 37,620

Payments:
Cash 30% 10,841 11,286
First Month 70% 21,483 25,295
Total Payments 32,324 36,581

Cash Inflows
Collections from Sales 61,732 70,400

Cash Outflows:
Inventory Payments 32,324 36,581
Hourly Wages and Benefits 10,000 10,000
Salaries and Benefits 14,000 14,000
Interest on Long-term Debt 4,000 4,000
Principal on Long-term Debt 221 221
Interest on Short-term Debt - 86
Maintenance 800 800
Snow Removal - -
Sales Tax Payments 7% 13,090 -
Other taxes 4% 7,480 -
Total Outflows 81,915 65,687

Beginning Cash Balance 15,000 12,000

Add: Cash Inflows 61,732 70,400
Less: Cash Outflows 81,915 65,687
Unadjusted Cash Balance 15,000 (5,183) 16,713
Current Borrowing - 17,183 (4,713)
Ending Cash Balance 15,000 12,000 12,000

Cumulative Borrowing - 17,183 12,470

Minimum Cash Balance 12,000
Annual Rate on Borrowing 6.00%
Monthly Rate on Borrowing 0.50%
Hourly Wages and Benefits 10,000
Salaries and Benefits 14,000
Interest on Long-term Debt 4,000
Principal on Long-term Debt 221
Maintenance 800
Snow Removal Costs 200
 rings Hardware
sh Budget
ne 2015 to November 2015
August September October November December January
$ 83,600 $ 77,000 $ 64,900 $ 51,700 $ 45,100 $ 39,600

33,440 30,800 25,960 20,680 18,040

9,636 10,032 9,240 7,788 6,204
32,736 38,544 40,128 36,960 31,152
75,812 79,376 75,328 65,428 55,396

$ 34,650 $ 29,205 $ 23,265 $ 20,295 $ 17,820

10,395 8,762 6,980 6,089 5,346

26,334 24,255 20,444 16,286 14,207
36,729 33,017 27,423 22,374 19,553

75,812 79,376 75,328 65,428 55,396

36,729 33,017 27,423 22,374 19,553

10,000 10,000 10,000 10,000 10,000
14,000 14,000 14,000 14,000 14,000
4,000 4,000 4,000 4,000 4,000
221 221 221 221 221
62 12 58 - -
800 800 800 800 800
- - 200 200 200
- 16,863 - - 11,319
- 9,636 - - 6,468
65,812 88,549 56,702 51,595 66,561

12,000 12,000 12,000 18,983 32,816

75,812 79,376 75,328 65,428 55,396
65,812 88,549 56,702 51,595 66,561
22,000 2,827 30,626 32,816 21,651
(10,000) 9,173 (11,643) - -
12,000 12,000 18,983 32,816 21,651

2,470 11,643 - - -
 June July August September October NovemberDecember January
$ 68,200 $ 80,300 $ 83,600 $ 77,000 $ 64,900 $ 51,700 $ 45,100 $ 39,600
 Idaho Springs Hardware
Cash Budget
For the Period June 2015 to November 2015
April May June July
Revenues 100% $ 56,100 $ 62,700 $ 68,200 $ 80,300
Collections:
Cash 40% 27,280 32,120
First Month 12% 7,524 8,184
Second Month 48% 26,928 30,096
Total Collections 61,732 70,400

Inventory Purchases 45% $ 30,690 $ 36,135 $ 37,620

Payments:
Cash 30% 10,841 11,286
First Month 70% 21,483 25,295
Total Payments 32,324 36,581
Cash Inflows
Collections from Sales 61,732 70,400
Short-term Investing Income 10 -
Total Inflows 61,742 70,400

Cash Outflows:
Inventory Payments 32,324 36,581
Hourly Wages and Benefits 10,000 10,000
Salaries and Benefits 14,000 14,000
Interest on Long-term Debt 4,000 4,000
Principal on Long-term Debt 221 221
Interest on Short-term Debt - 86
Maintenance 800 800
Snow Removal - -
Sales Tax Payments 7% 13,090 -
Other taxes 4% 7,480 -
Total Outflows 81,915 65,687

Beginning Cash Balance 12,000 12,000

Add: Cash Inflows 61,742 70,400
Less: Cash Outflows 81,915 65,687
Unadjusted Cash Balance 15,000 (8,173) 16,713
Current Borrowing - 17,173 (4,713)
Current Investing 3,000 (3,000) -
Ending Cash Balance 12,000 12,000 12,000
Cumulative Borrowing - 17,173 12,460
Cumulative Investments 3,000 - -
Minimum Cash Balance 12,000
Annual Rate on Borrowing 6.00%
Monthly Rate on Borrowing 0.50%
Annual Rate on Investing 4%
Monthly Rate on Investing 0.33%
Maximum Borrowing Need 17,173
Hourly Wages and Benefits 10,000
Salaries and Benefits 14,000
Interest on Long-term Debt 4,000
Principal on Long-term Debt 221
Maintenance 800
Snow Removal Costs 200
Cumulative Net Interest Cost 219
 prings Hardware
ash Budget
une 2015 to November 2015
August September October November December January
$ 83,600 $ 77,000 $ 64,900 $ 51,700 $ 45,100 $ 39,600

33,440 30,800 25,960 20,680 18,040

9,636 10,032 9,240 7,788 6,204
32,736 38,544 40,128 36,960 31,152
75,812 79,376 75,328 65,428 55,396

$ 34,650 $ 29,205 $ 23,265 $ 20,295 $ 17,820

10,395 8,762 6,980 6,089 5,346

26,334 24,255 20,444 16,286 14,207
36,729 33,017 27,423 22,374 19,553

75,812 79,376 75,328 65,428 55,396

- - - 23 69
75,812 79,376 75,328 65,451 55,465

36,729 33,017 27,423 22,374 19,553

10,000 10,000 10,000 10,000 10,000
14,000 14,000 14,000 14,000 14,000
4,000 4,000 4,000 4,000 4,000
221 221 221 221 221
62 12 58 - -
800 800 800 800 800
- - 200 200 200
- 16,863 - - 11,319
- 9,636 - - 6,468
65,812 88,549 56,702 51,595 66,561

12,000 12,000 12,000 12,000 12,000

75,812 79,376 75,328 65,451 55,465
65,812 88,549 56,702 51,595 66,561
22,000 2,827 30,626 25,856 905
(10,000) 9,173 (11,633) - -
- - 6,993 13,856 (11,095)
12,000 12,000 12,000 12,000 12,000
2,460 11,633 - - -
- - 6,993 20,849 9,754
 June July August September October NovemberDecember January
$ 68,200 $ 80,300 $ 83,600 $ 77,000 $ 64,900 $ 51,700 $ 45,100 $ 39,600
Scenario Summary
Best Case Base Case Worst Case
Changing Cells:
Revenue_Adjustment 95% 100% 80%
First_Month_Collections 60% 12% 60%
Result Cells:
Max_Borrowing_Need 13,377 17,173 29,339
Cumulative_Net_Interest 120 219 317
Notes: Current Values column represents values of changing cells at
time Scenario Summary Report was created. Changing cells for each
scenario are highlighted in gray.