Cashton Finance Assingment Help With Solution

Part One – The Budget Tables (60 Points)

As the new controller for the city of Cashton, you are concerned about this year’s budget (2015). Specifically, you’re concerned that you may not have enough cash to cover all of your expenses each month (cash flow problems). As a result, you’ve decided to create a monthly cash budget for each of the four major funds of the city. Use the following data to create a monthly cash budget for each fund.

Fund Balance for January 1:

General Fund $680,350

Parks General $74,892

Motor Vehicle $156,547

Cumulative Capital $964,601

Revenue Estimates:All estimates are taken from the budget approved by the City Council last year.

Property Tax: Collections are received by the city on May 1 and November 1. Cashton gives a discount for early payment to encouraged citizens to pay their bill early. As a result, five-eighths of the total levy is received in the first payment. Cashton has experienced a 2% delinquency rate in the past. The total property tax levy for each fund is:

General Fund $2,894,200

Parks General $685,300

Cumulate Capital $228,400

Parking Meters (general fund): Revenues run about $9,000 per month. In warmer months (May, June, July and August) collections are typically 20% lower due to less people driving. Collections are generally 15% higher in December due to holiday shopping downtown.

Permits (general fund): The county engineering department collects permit fees for Cashton throughout the year and remits them to you at the end of each quarter. The total collections are estimated at $360,000 with 20% coming in Q1 and Q4, 25% in Q2, and 35% in Q3.

Traffic Fines (half to general fund, half to motor vehicle): Estimated at $8,500 per month.

Swimming Pool Admissions (parks general): Estimates are based on prior years.

May $950

June $1,110

July $1,350

August $3,200

September $600

Parks Concessions (parks general): estimates are based on prior years.

May $600

June $1,000

July $2,400

August $4,100

September $500

How it Works

How It works ?

Step 1:- Click on Submit your Assignment here or shown in left side corner of every page and fill the quotation form with all the details. In the comment section, please mention product code mentioned in end of every Q&A Page. You can also send us your details through our email id support@assignmentconsultancy.com with product code in the email body. Product code is essential to locate your questions so please mentioned that in your email or submit your quotes form comment section.

Step 2:- While filling submit your quotes form please fill all details like deadline date, expected budget, topic , your comments in addition to product code . The date is asked to provide deadline.

Step 3:- Once we received your assignments through submit your quotes form or email, we will review the Questions and notify our price through our email id. Kindly ensure that our email id assignmentconsultancy.help@gmail.com and support@assignmentconcultancy.com must not go into your spam folders. We request you to provide your expected budget as it will help us in negotiating with our experts.

Step 4:- Once you agreed with our price, kindly pay by clicking on Pay Now and please ensure that while entering your credit card details for making payment, it must be done correctly and address should be your credit card billing address. You can also request for invoice to our live chat representatives.

Step 5:- Once we received the payment we will notify through our email and will deliver the Q&A solution through mail as per agreed upon deadline.

Step 6:-You can also call us in our phone no. as given in the top of the home page or chat with our customer service representatives by clicking on chat now given in the bottom right corner.

Features

Features for Assignment Help

Zero Plagiarism
We believe in providing no plagiarism work to the students. All are our works are unique and we provide Free Plagiarism report too on requests.

Relevancy
We believe in providing perfect, relevant and 100% accurate solutions to the student as per questions asked. All our experts are perfect in providing that so as to give unique experience to the students.

Three Stage Quality Check
We are the only service providers boasting of providing original, relevant and accurate solutions. Our three stage quality process help students to get perfect solutions.

100% Confidential
All our works are kept as confidential as we respect the integrity and privacy of our clients.

Related Services

Gasoline Taxes (motor vehicle): The state collects gasoline and excise taxes on vehicles operated within the state and shares those revenues with local governments to help maintain their vehicles and equipment. Payments are remitted to local governments at the end of each quarter. Last year Cashton received a total of $440,000. The state estimates 2015 collections to be roughly 3% higher.

Expenditure Estimates:All estimates are based on currently approved appropriations by the City Council.

Payroll:Paydays are every other Friday. The first payday is January 2^nd.

General Fund $93,000 biweekly

Parks General $17,500 biweekly

Motor Vehicle $2,500 biweekly

Seasonal Employees: Cashton hires additional temporary help in summer months (May thru September). These paychecks are issued on the same day as the regular payroll.

Parks General $6,000 biweekly

Motor Vehicle $1,700 biweekly

Other Regular Expenditures: Checks to suppliers are issued every other Wednesday starting January 7^th. The following amounts represent the average amount per disbursement based on the previous year’s expenditure patterns.

General Fund $29,000 /disbursement

Parks General $4,500 /disbursement

Motor Vehicle $1,450 /disbursement

Other Seasonal Expenditures: Cashton generally experience higher costs in the summer months (May thru September). These disbursements occur on the same days as the other regular expenditures.

Parks General $2,300 /disbursement

Motor Vehicle $5,800 /disbursement

Debt Service: Cashton issued a bond four years ago for general infrastructure improvements. Payments are due semiannually on January 30^th($162,000) and August 30^th ($128,000). Debt service is paid from the cumulative capital fund.

Capital Expenditures: Cashton has planned the following capital expenditures for 2015. Payment is due on the date listed.

General Fund – Three new police cars valued at $18,000 each (April 15^th)

Motor Vehicle –One dump truck valued at $67,500 (September 30^th)

Motor Vehicle – One snowplow valued at $34,000 (September 30^th)

Part Two – The Questions (40 Points)

Is the budget in balance as it is proposed? How large is the annual deficit or surplus for each fund? If you combine all four funds, what is the total net income and ending balance for the year? Note, I’m asking for six numbers here.
Will Cashton experience cash flow problems throughout the year? If so, which funds will have problems? When will the problems occur?
What could Cashton do to avoid the cash flow problems that you found in the previous question? There are many valid answers. Don’t simply say “cut expenses or raise revenue”. Be specific. Please list at least three actions they could take.
What is the total ending balance for all four funds as of December 31^st? We refer to this amount as a cash reserve. Is it appropriate for a public agency to hold that much cash in reserve? Explain your answer.

Product Code :Fin257

To get answer for this question, kindly click here (Note: Don’t forget to write the product code in comment section)

You can also email us at assignmentconsultancy.help@gmail.com but please mentioned product code in the mail body while sending emails.You can browse more questions to get answer in our Q&A sections here.

Summary