Cash Flow Statement

• Lesson
• Exercise
• Answer

Fishbourne Marketing

Review the Cash Flow Statement (below) and answer the following questions:

• 1) What is the name of the figure shown at the top of each month?
• 2) Which line item amounts seem to fluctuate the most?
• 3) Name some line items which may be influencing the amount shown in the other listed items?

	January	February	March	April	May	June
Beginning Cash Balance	15,000	20,548	22,296	23,493	24,191	180,955
Cash inflows:
Accts. Rec. Collections	180,955	180,955	182,455	185,855	181,455	180,955
Loans on proceeds
Sales & receipts	5,000	0	3,500	0	4,500	6,000
Other:
Total Cash Inflows	185,955	180,955	185,955	185,955	185,955	186,955
Available Cash Balance	200,955	201,503	208,251	209,448	210,146	212,244
Cash Outflows (Expenses):
Advertising	300	300	300	400	400	400
Bank Service Charges	45	45	45	45	45	45
Credit Card Fees	35	35	35	35	35	35
Delivery
Health Insurance	478	478	478	478	478	478
Insurance	200	200	200	200	200	200
Interest	25	25	25	25	25	25
Inventory Purchases	1,000	1,000	450	750	450	1,000
Miscellaneous	300	300	300	300	300	300
Office	1,000	1,000	1,000	1,000	1,000	1,000
Payroll	83,300	83,300	83,300	83,300	83,300	83,300
Payroll Taxes	7,300	7,300	7,300	7,300	7,300	7,300
Professional Fees	250	250	250	250	250	250
Rent and Leases	1,000	1,000	1,000	1,000	1,000	1,000
Subscriptions and Dues	90	90	90	90	90	90
Supplies	200	200	100	200	100	200
Taxes and Licenses	44,629	43,429	44,629	44,629	44,629	44,829
Utilities and Telephone	130	130	130	130	130	130
Other
Subtotal	140,282	139,082	139,632	140,132	139,732	140,622
Other Cash Out Flows:
Capital Purchases
Loan Principal	125	125	125	125	125	125
Owner's Draw	40,000	40,000	45,000	45,000	45,000	40,000
Other:
Subtotal	40,125	40,125	45,125	45,125	45,125	40,125
Total Cash Outflows	180,407	179,207	184,757	185,257	184,857	189,747
Ending Cash Balance	20,548	22,296	23,493	24,191	25,289	31,497