Define and Discuss on Cash Budget

General objective of this article is to Define and Discuss on Cash Budget. Here analysis Cash Budget in accounting terms with examples. The cash budget is prepared following operating budgets (sales, merchandise purchases, selling expenses and general and administrative expenses) plus the capital expenditures budget are prepared. The cash budget starts with all the beginning cash balance to which can be added the cash inflows for getting cash available. Cash outflows for the period are then subtracted to calculate the income balance before financing.