CashFlow 1

CashFlow 1 Develop cash management plans/cash flow projections for the ten day period. You are required to run projections outlining the best case, worst case and most likely scenarios. Cash Flow Exercise Cash on hand (beginning of day) – Day 1         $ 3,000 Bills Due: Rent due – Day 4                     2,500 Phones due – Day 8                 300 Office supplies – due now             250 Accountant – past due                 1,000 Printing – past due                 500 Health insurance                     2,500 Software support due – Day 8             500 Equipment leases due – Day 7             800 Bank loan payment due – Day 8         1,100 Payroll – Day 4 (assume this to be the last working day of month): Employees (net)                     15,000 Management (net)                     5,000 Owners (net)                     5,000 Payroll tax (net X 35%)                 8,750 Average cash collected per day = $2,500 Large A/R past due (any day now) $15,000 14,000 11,000 Mail delivered six days a week DEVELOP A CASH FLOW PLAN FOR THIS COMPANY THROUGH FOR A PERIOD OF TEN (10) DAYS.