Q.1 Tim Van Winkle operates a FedEx Kinkos store.

He has just received the monthly bank statement at May 31 from City National Bank, and the statement shows an ending balance of $595. Listed on the statement are an EFT rent collection of $300, a service charge of $12, two NSF checks totaling $120 and a $9 charge for printed checks. In reviewing his cash records, Van Winkle identifies outstanding checks totaling $603 and a May 31 deposit in transit of $1,788. During May, he recorded a $290 check for the salary of a part-time employee as $29. Van Winkles Cash account shows May 31 cash balance of $1,882. How much cash does Van Winkle actually have at May 31? Q.2 .Cellular Communications, Inc., is preparing its cash budget for 20X8. Cellular ended 20X7 with cash of $81 million, and managers need to keep a cash balance of at least $75 million for operations. Collections from customers are expected to total $11,284 million during 20X8, and payments for the cost of services and products should reach $6,166 million. Operating expense payments are budgeted at $2,543 million. During 20X8, Cellular expects to invest $1,825 million in new equipment and sell older assets for $115 million. Debt payments scheduled for 20X8 will total $597 million. The company forecasts net income of $890 million for 20X8 and plans to pay dividends of $338 million. Prepare Cellular Communications cash budget for 20X8. Will the budgeted level of cash receipts leave Cellular with the desired ending cash balance of $75 million, or will the company need additional financing? If so, how much?