Answer: B
November sale = October sale × (1 + rate of increase)
= 210,000 × (1 + 0.15)
= 210,000 × 1.15
= 241,500
Collection for sale = November sale × 30% + October sale × 65%
= 241,500 × 30% + 210,000 × 65%
= 72,450 + 136,500
= 208,950
Payment for purchases = November purchases × 30% + October purchases × 70%
= 190,000 × 30% + 100,000 × 70%
= 57,000 + 70,000
= 127,000
November 30 (ending) cash = November 1 (beginning) cash + Collection for sale – Payment for purchases
= 13,100 + 208,950 – 127,000
= 95,050
Romona Company expects its November sales to be 15% higher than its October sales of $210,000....
Question 8 0.6 points Save Ans Romona Company expects its November sales to be 15% higher than its October sales of $220,000. All sales are on credit and are collected as follows: 25% in the month of the sale and 70% in the following month. Purchases were $150,000 in October and are expected to be $100,000 in November. Purchases are paid 30% in the month of purchase and 70% in the following month. The cash balance on November 1 is...
pls jelp find the cash balance BusyBody Company expects his November to be 20% higher than its October sales of $20,000. Purchases were $100.000 in October and are expected to be $130,000 in November All we are on credit and are collected asoo the month of the sale and 65% in the following Purchase pad N o nth of purchased in the towing month. The cash balance on November is $13.000. The cash balance on November will be QA11100 OB....
Walter Enterprises expects its September sales to be 25% higher than its August sales of $170,000. Purchases were $120,000 in August and are expected to be $140,000 in September. All sales are on credit and are collected as follows: 35% in the month of the sale and 65% in the following month. Merchandise purchases are paid as follows: 25% in the month of purchase and 75% in the following month. The beginning cash balance on September 1 is $7,300. The...
Walter Enterprises expects its September sales to be 20 % higher than its August sales of $195,000 Purchases were $145,000 in August and are expected to be $165,00C in September. All sales are on credit and are collected as follows: 30 % in the month of the sale and 70 % in the following month. Merchandise purchases are paid as follow 20% in the month of purchase and 80 % in the following month. The beginning cash balance on September...
Worton Distributing expects its September sales to be 20% higher than its August sales of $168,000. Purchases were $118,000 in August and are expected to be $138,000 in September. All sales are on credit and are expected to be collected as follows: 40% in the month of the sale and 60% in the following month. Purchases are paid 20% in the month of purchase and 80% in the following month. The cash balance on September 1 is $28,000. The ending...
It is November 1 of Year 1. Sales for Robert Company for November and December of Year 1 and January of Year 2 are forecasted to be as follows: November, 400,000; December 600,000; January, 200,000 If you could explain this step by step it would help me understand how to do these greatly! thank you :) On average, cost of goods sold is 70% of sales. During this period, Robert Company expects inventory levels to remain constant. This means that...
Getty Company expects sales for the first three months of next year to be $210,000, $235.000 and $285,000, respectively. Getty expects 30 percent of its sales to be cash and the remainder to be credit sales. The credit sales will be collected as follows: 10 percent In the month of the sale and 90 percent in the following month Compute a schedule of Getty's cash receipts for the months of February and March February March Budgeted cash receipts
The Gardner Company expects sales for October of $248,000. Experience suggests that 45% of sales are for cash and 55% are on credit. The company collects 50% of its credit sales in the month of sale and 50% in the month following sale. Budgeted Accounts Receivable on September 30 is $67,000. What is the amount of cash expected to be collected in October? $111,600. $178,600. $246,800. $179,800. $124,000.
Junior Snacks reports the following information from its sales budget: Expected Sales: October $ 136,000 November 144,000 December 180,000 All sales are on credit and are expected to be collected 35% in the month of sale and 65% in the month following sale. The total amount of cash expected to be received from customers in November is: Multiple Choice $138,800. $88,400. $144,000. $232,400. $50,400.
Budgeted sales in Washburn Company over the next four months are given below: September October November December Budgeted sales $100,000 $160,000 $180,000 $120,000 Twenty-five percent of the company's sales are for cash and 75% are on account. Collections for sales on account follow a stable pattern as follows: 50% of a month's credit sales are collected in the month of sale, 30% are collected in the month following sale, and 15% are collected in the second month following sale. The...