cash budget

One of the principal methods of forecasting the financial needs of a business is the cash budget, which predicts the combined effects of planned operations on the firm’s cash flow. A positive net cash flow means that the firm will have surplus funds…

Faced with the increasing complexity of government activities, many countries have fallen back on the idea of the cash budget. This has the merits of simplicity and comprehensiveness. As used in the United States, it presents total payments by the federal…

…budget, the cash forecast or cash budget, summarizes the anticipated effects on cash of all the company’s activities. It lists the anticipated cash payments, cash receipts, and amount of cash on hand, month by month throughout the year. In most companies, responsibility for cash management rests mainly in the head…