# 12 CFR Appendix E to Part 1024 - Appendix E to Part 1024—Arithmetic Steps

Appendix E to Part 1024—Arithmetic Steps
I. Example Illustrating Aggregate Analysis
Assumptions
Disbursements:
\$360 for school taxes disbursed on September 20
\$1,200 for county property taxes:
\$500 disbursed on July 25
\$700 disbursed on December 10
Cushion: One-sixth of estimated annual disbursements
Settlement: May 15
First Payment: July 1

Step 1—Initial Trial Balance

Aggregate pmt disb 0 0 0 130 500 −370 130 0 −240 130 360 −470 130 0 −340 130 0 −210 130 700 −780 130 0 −650 130 0 −520 130 0 −390 130 0 −260 130 0 −130 130 0 0

[Increase monthly balances to eliminate negative balances]

Aggregate pmt disb 0 0 780 130 500 410 130 0 540 130 360 310 130 0 440 130 0 570 130 700 0 130 0 130 130 0 260 130 0 390 130 0 520 130 0 650 130 0 780

Step 3—Trial Balance With Cushion

Aggregate pmt disb 0 0 1040 130 500 670 130 0 800 130 360 570 130 0 700 130 0 830 130 700 260 130 0 390 130 0 520 130 0 650 130 0 780 130 0 910 130 0 1040
II. Example Illustrating Single-Item Analysis
Assumptions
Disbursements:
\$360 for school taxes disbursed on September 20
\$1,200 for county property taxes:
\$500 disbursed on July 25
\$700 disbursed on December 10
Cushion: One-sixth of estimated annual disbursements
Settlement: May 15
First Payment: July 1

Step 1—Initial Trial Balance

Single-item Taxes School taxes pmt disb bal 0 0 0 0 0 0 100 500 −400 30 0 30 100 0 −300 30 0 60 100 0 −200 30 360 −270 100 0 −100 30 0 −240 100 0 0 30 0 −210 100 700 −600 30 0 −180 100 0 −500 30 0 −150 100 0 −400 30 0 −120 100 0 −300 30 0 −90 100 0 −200 30 0 −60 100 0 −100 30 0 −30 100 0 0 30 0 0