What would likely be included in the receipts section of a Cash Budget?

Study for the Texas PACT Business and Finance 776 Test. Practice with flashcards and multiple-choice questions. Boost your confidence and knowledge to excel in your exam!

The receipts section of a Cash Budget primarily includes all forms of cash inflows that a business expects to receive during a specific period. Sales revenue is a fundamental component of this section because it represents the income generated from the sale of goods or services. This inflow is essential for covering various expenditures and maintaining the financial health of a business.

Including sales revenue in the receipts section allows businesses to project their cash flow accurately. This projection helps in planning for expenses, investments, and ensuring that there is sufficient liquidity to meet ongoing obligations. By understanding projected sales and their impact on cash flow, businesses can make informed decisions about spending, saving, or reinvesting cash.

On the other hand, payments for loans, operating expenses, and inventory purchases are outflows. These would typically appear in the disbursements section of the budget, where the focus is on the cash that will be paid out rather than received.

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