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A typical exam question
Using the cash flow budget for Go Faster Sports, answer the following questions.
- Question
Which month produced the highest income from sales?
- Answer
March (£16,250).
- Question
Which month produced the best net cash surplus, and why?
- Answer
March (£2 850).
The total expenditure was considerably lower, because this was the only month that a significant amount wasn't spent on Equipment and Fittings.
- Question
What is the amount of the cash balance brought forward for April?
- Answer
£3,900.
The same amount as the cash balance carried forward for March.
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