Complete the Budgeted Income Statements below based on the information given - Check figures are given below
Mentioned basis as per above in the particular for the values
Example
Cost of goods sold Jan 2020 - 179000*65% = 116,350/-
Commission Jan 2020 - 179,000*2.5%=4,475/-
Marketing expenses Jan 2020 - 3,540 + (179,000*1.5%) =6,225/-
Selling expenses Jan 2020 - 19800+(179,000*2%) = 23,380/-
Budged income statement of M/s Get Laughy Taffy Inc. | |||
Particular | Jan 31, 2020 | Feb 29,2020 | Mar 31,2020 |
Sales | 1,79,000 | 1,84,000 | 1,63,000 |
Cost of sales (65% on sales) | 1,16,350 | 1,19,600 | 1,05,950 |
Gross Margin | 62,650 | 64,400 | 57,050 |
Other Operating expenses | |||
Commission expenses (2.5% on sales) | 4,475 | 4,600 | 4,075 |
Marketing expenses (3540+1.5%on sales) | 6,225 | 6,300 | 5,985 |
insurance expenses (Jan 1305, Feb and March 1278 per month (15336/12) | 1,305 | 1,278 | 1,278 |
Selling & Administrative expenses (19800+2%on sales) | 23,380 | 23,480 | 23,060 |
Depreciation expenses | 5,300 | 5,300 | 5,300 |
Total other Operating expenses | 40,685 | 40,958 | 39,698 |
Operating income | 21,965 | 23,442 | 17,352 |
Other
income (Expenses) Interest expenses (Since interest is calculated on prinicple O/s only. Accrued interest in not considered) |
450 | 450 | 450 |
Income before income tax | 21,515 | 22,992 | 16,902 |
Income tax Expenses | 4,518 | 4,828 | 3,549 |
Net income | 16,997 | 18,164 | 13,353 |
Dividend declared and paid in Feb | 15,000 | ||
Transfer to reserves | 16,997 | 3,164 | 13,353 |
Complete the Budgeted Income Statements below based on the information given - Check figures are given...
INSTRUCTIONS: Based on the information available below, complete the Cash Budget, Income Statement, and Budgeted Balance Sheet worksheet 4 A relatively new company, Get Laughy Taffy, Inc., has determined they need to engage in a budgeting 5 process as part of their new strategic plan. The Company has asked you to provide the following items 6 for the months of January, February, and March of 2020: A) a Purchases Budget; B) a Cash Budget; C) a 7 Budgeted Income Statement;...
G 5 6 Check figures are: January Budgeted Purchase for Next Month Sales = $118,365; March Inventory Needed to be 7 Available during Current Month = $176,878. 8 Get Laughy Taffy, Inc. PURCHASES BUDGET 11 PLANNING FOR 2020 12 13 Solution: Actual Budgeted Budgeted Budgeted Dec 2019 January February March 15 Desired Ending Inventory Balance for Current Month $ 72,137 16 Current Month's Cost of Sales 172,900 17 Inventory Needed to be Available during Current Month 245,037 18 Less: Beginning...
Near the end of 2019, the management of Dimsdale Sports Co., a merchandising company, prepared the following estimated balance sheet for December 31, 2019. DIMSDALE SPORTS COMPANY Estimated Balance Sheet December 31, 2019 Assets Cash $ 36,500 Accounts receivable 520,000 Inventory 105,000 Total current assets $ 661,500 Equipment 612,000 Less: Accumulated depreciation 76,500 Equipment, net 535,500 Total assets $ 1,197,000 Liabilities and Equity Accounts payable $ 375,000 Bank loan payable 12,000 Taxes payable (due 3/15/2020) 89,000 Total liabilities $ 476,000...
Please prepare a Combined Cash Budget and Budgeted Income Statement using the information above - thank you so much! :) Will thumbs up! PROBLEM N3 Objective The objective of Problem 3 is to reinforce your understanding of the preparation of budgets ked to prepare some Operating and Financial Budgets. Lynn has become concerned about the cash needs for the business as it grow. You have been asked to prepare budgets related to the production and sales of water bottles for...
Near the end of 2019, the management of Dimsdale Sports Co., a merchandising company, prepared the following estimated balance sheet for December 31, 2019. DIMSDALE SPORTS COMPANY Estimated Balance Sheet December 31, 2019 Assets Cash $ 36,000 Accounts receivable 520,000 Inventory 135,000 Total current assets $ 691,000 Equipment 600,000 Less: Accumulated depreciation 75,000 Equipment, net 525,000 Total assets $ 1,216,000 Liabilities and Equity Accounts payable $ 340,000 Bank loan payable 12,000 Taxes payable (due 3/15/2020) 88,000 Total liabilities $ 440,000...
Near the end of 2019, the management of Dimsdale Sports Co., a merchandising company, prepared the following estimated balance sheet for December 31, 2019. DIMSDALE SPORTS COMPANY Estimated Balance Sheet December 31, 2019 Assets Cash $ 36,000 Accounts receivable 520,000 Inventory 100,000 Total current assets $ 656,000 Equipment 528,000 Less: Accumulated depreciation 66,000 Equipment, net 462,000 Total assets $ 1,118,000 Liabilities and Equity Accounts payable $ 365,000 Bank loan payable 14,000 Taxes payable (due 3/15/2020) 89,000 Total liabilities $ 468,000...
Near the end of 2019, the management of Dimsdale Sports Co., a merchandising company, prepared the following estimated balance sheet for December 31, 2019. DIMSDALE SPORTS COMPANY Estimated Balance Sheet December 31, 2019 Assets Cash $ 36,500 Accounts receivable 520,000 Inventory 105,000 Total current assets $ 661,500 Equipment 612,000 Less: Accumulated depreciation 76,500 Equipment, net 535,500 Total assets $ 1,197,000 Liabilities and Equity Accounts payable $ 375,000 Bank loan payable 12,000 Taxes payable (due 3/15/2020) 89,000 Total liabilities $ 476,000...
Problem 07-8AA Merchandising: Preparation of a complete master budget LO P4 Near the end of 2019, the management of Dimsdale Sports Co., a merchandising company, prepared the following estimated balance sheet for December 31, 2019. DIMSDALE SPORTS COMPANY Estimated Balance Sheet December 31, 2019 $ 35,000 520,000 157.500 712,500 552,000 69,000 483,000 $1,195,500 Cash Accounts receivable Inventory Total current assets Equipment Less: Accumulated depreciation Equipment, set Total assets Liabilities and Equity Accounta payable Bank loan payable Taxes payable dae 3/15/2020...
Near the end of 2019, the management of Dimsdale Sports Co., a merchandising company, prepared the following estimated balance sheet for December 31, 2019. DIMSDALE SPORTS COMPANY Estimated Balance Sheet December 31, 2019 Assets Cash $ 35,500 Accounts receivable 520,000 Inventory 100,000 Total current assets $ 655,500 Equipment 540,000 Less: Accumulated depreciation 67,500 Equipment, net 472,500 Total assets $ 1,128,500 Liabilities and Equity Accounts payable $ 365,000 Bank loan payable 13,000 Taxes payable (due 3/15/2020) 89,000 Total liabilities $ 467,000...
To prepare a master budget for January, February, and March of 2020, management gathers the following information. The company’s single product is purchased for $20 per unit and resold for $56 per unit. The expected inventory level of 5,250 units on December 31, 2019, is more than management’s desired level, which is 20% of the next month’s expected sales (in units). Expected sales are January, 7,250 units; February, 9,000 units; March, 10,750 units; and April, 10,000 units.Cash sales and credit sales...