Financial Analysis: Cash Budget for Leisure Wear Company, 2019

This assignment presents a detailed cash budget analysis for Leisure Wear, a chain of women's clothing stores, for the year 2019. The analysis includes a comprehensive cash budget, outlining cash inflows and outflows for each month, along with the opening and closing balances. The document meticulously calculates cash sales, credit sales, total amount received, purchases, supplier payments, variable expenses, fixed expenses, tax payments, and advertisement expenses. The analysis reveals trends in the company's cash position, highlighting fluctuations in closing balances and identifying months with potential cash flow challenges. The author suggests strategies for improving cash flow, such as reducing expenses and investing in government bonds. Supporting data, including basic input data and cell formulas, is provided in the appendix to facilitate understanding and verification of the calculations. The assignment provides valuable insights into the financial performance of Leisure Wear and offers practical recommendations for improving its cash management practices.