1. In a cash budget, net cash flow includes beginning cash True or False
2. If AP = 600, purchase per day = 20, then APP = 30 True or False
1. True
Cash budget refers to a budget where only cash inflows and the outflows are recorded, and the date of transactions are also recorded on the date of payment of recipient of cash unlike the accrual concept.
The Cash inflows and the outflows are recorded added and subtracted from the brginning cash flow to arrive at the net cash flow. Therefore, this statement is true
2. True
If the AP = 600
Purchases per day = 20
Then APP = AP / Purchases per day
= 600 / 20
= 30
APP = 30
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