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    Cash disbursement budget

    A company has operationalexpenses of the following

    Jan – 250,000

    Feb – 350,000

    Mar – 275,000

    Apr – 250,000

    May – $225,000

    They pay 60% with cash the month it is incurred. They pay for the rest on credit of which they pay 75% the month after it is incurred and 25% two months after. They also have depreciation in their operational expenses of $10,000 a month, and have a cash disbursement for an annual intrest payment of $50,000 in February. Construct a cash disbursement budget for March – May only.

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