Learning Objective 6 Appendix 22A Jun, purchases $67,000 E22A-32 Preparing an operating budget Tremont, Inc. sells tire rims. Its sales budget for the nine months ended September 30, 2014, follows: Quarter Ended Nine-Month Total March 31 June 30 September 30 Cash sales, 20% $ 24,000 $34,000 $ 29,000 $ 87,000 Credit sales, 80% 96,000 136,000 116,000 348,000 Total sales $ 120,000 $170,000 $145,000 $435,000 In the past, cost of goods sold has been 40% of total sales. The director of mar- keting and the financial vice president agree that each quarter's ending inventory should not be below $20,000 plus 10% of cost of goods sold for the following quarter. The marketing director expects sales of $220,000 during the fourth quarter. The January 1 inventory was $32,000. Prepare an inventory, purchases, and cost of goods sold budget for each of the first three quarters of the year. Compute cost of goods sold for the entire nine-month period. Prepare an operating budget

Learning Objective 6 Appendix 22A Jun, purchases $67,000 E22A-32 Preparing an operating budget Tremont, Inc. sells tire rims. Its sales budget for the nine months ended September 30, 2014, follows: Quarter Ended Nine-Month Total March 31 June 30 September 30 Cash sales, 20% $ 24,000 $34,000 $ 29,000 $ 87,000 Credit sales, 80% 96,000 136,000 116,000 348,000 Total sales $ 120,000 $170,000 $145,000 $435,000 In the past, cost of goods sold has been 40% of total sales. The director of mar- keting and the financial vice president agree that each quarter's ending inventory should not be below $20,000 plus 10% of cost of goods sold for the following quarter. The marketing director expects sales of $220,000 during the fourth quarter. The January 1 inventory was $32,000. Prepare an inventory, purchases, and cost of goods sold budget for each of the first three quarters of the year. Compute cost of goods sold for the entire nine-month period. Prepare an operating budget

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter8: Budgeting For Planning And Control

Section: Chapter Questions

Problem 3CE: Refer to Cornerstone Exercise 8.2 for the production budgets for practice balls and match balls....

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Question 23 ncements -/1 sions View Policies rences Current Attempt in Progress orations Swifty Corporation reported the following information for 2016: PLUS Support October November December Central $370000 $340000 $450000 Budgeted sales Budgeted purchases $140000 $156000 $198000 e 365 es All sales are on credit. a Customer amounts on account are collected 50% in the month of sale and 50 % in the following month. Cost of goods sold is 35% of sales. Swifty purchases and pays for merchandise 60% in the month of acquisition and 40 % in the following month. Accounts payable is used only for inventory acquisitions. How much cash will Swifty receive during November? O $395000 O $170000 O $355000 O $340000 8:57 PM ) 11/27/2019 (? search hp s end prt sc clelete & backspace lock 8 R 4 anter K G sed tri ey utNE gna Σ I
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uakeASSignmentsessfonLocator=&inprogress%3Dfalse ☆ 身G Cash Budget McMichael Inc. collects 80% of its sales on account in the month of the sale and 20% in the month following the sale. If sales on account are budgeted to be $411,000 for September and $370,000 for October, what are the budgeted cash receipts from sales on account for October?
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Required information SB Exercise E8-5 to E8-10 [The following information applies to the questions displayed below.] Shadee Corporation expects to sell 570 sun shades in May and 330 in June. Each shade sells for $162. Shadee's beginning and ending finished goods inventories for May are 70 and 55 shades, respectively. Ending finished goods inventory for June will be 55 shades. E8-10 (Algo) Preparing Budgeted Income Statement [LO 8-3h] Each shade requires a total of $55.00 in direct materials that includes 4 adjustable poles that cost $5.00 each. Shadee expects to have 120 in direct materials inventory on May 1, 90 poles in inventory on May 31, and 100 poles in inventory on June 30. Suppose that each shade takes three direct labor hour to produce and Shadee pays its workers $15 per hour. Additionally, Shadee's fixed manufacturing overhead is $11,000 per month, and variable manufacturing overhead is $14 per unit produced. Additional information: • Selling costs are expected to be 8…
Required information SB Exercise E8-5 to E8-10 [The following information applies to the questions displayed below.] Shadee Corporation expects to sell 590 sun shades in May and 430 in June. Each shade sells for $135. Shadee's beginning and ending finished goods inventories for May are 90 and 55 shades, respectively. Ending finished goods inventory for June will be 70 shades. E8-10 (Algo) Preparing Budgeted Income Statement [LO 8-3h) Each shade requires a total of $45.00 in direct materials that includes 4 adjustable poles that cost $10.00 each. Shadee expects to have 120 in direct materials inventory on May 1, 100 poles in inventory on May 31, and 110 poles in inventory on June 30. Suppose that each shade takes three direct labor hour to produce and Shadee pays its workers $15 per hour. Additionally, Shadee's fixed manufacturing overhead is $11,000 per month, and variable manufacturing overhead is $11 per unit produced. Additional information: . Selling costs are expected to be 11…
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-/1 View Policies Current Attempt in Progress Scan Design provided the following budgeted information for April through July: July June May April $104,000 $123,000 $115,000 $132,000 Projected sales Projected merchandise purchases $82,000 $92,000 $78,000 $66,000 .The cash balance on June 1 is $12,000. The company pays 40% of merchandise purchases in the month purchased and 60% in the following month. . General operating expenses are budgeted to be $31,000 per month of which depreciation is $3,000 of this amount. Management pays operating expenses in the month incurred The company makes loan payments of $4,000 per month of which $600 is interest and the remainder is principal. How much are budgeted cash disbursements for June? O $63,200. O $86,400. O $118.400. $102,800. 8:38 P 11/27/2 hp fa4+ f12 SU prt sc A delete home end & 7 num backspace lock home K 4 enter I