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142.      Carson Company has gathered the following information:

April 30 ending cash balance




Dividends paid in May



Cash expenditures in May for operating expenses



Depreciation expense in May




Cash collections in May



Merchandise purchases paid in cash in May



Purchase equipment for cash in May



     Carson Company desires to keep a minimum cash balance of $10,000.

     Required:     Prepare a cash budget for May, and indicate whether or not Carson Company meets minimum cash requirements.

143.      Letterman Company has gathered the following information:

March 31 ending cash balance




Depreciation expense for April




Dividends paid in April




Cash collections in April




Equipment purchase for cash in April




Cash paid for operating expenses in April




Merchandise paid for in April



Letterman Company requires a minimum cash balance of $80,000.


     Prepare a cash budget for April, and comment on whether or not minimum cash balance requirements are met.

144.      Madden Company has supplied the following information for 20X0:

Cash balance, January 1





Total revenues




Total expenses



All revenues are collected when earned and all expenses are paid as incurred. The total expenses include $21,000 of depreciation

     a.     How much profit did Madden Company earn during 20X0?

     b.     What was the ending balance of cash?

     c.     Explain how cash increased during the year.

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