Answer | ||
a) Schedule of Expected Cash Collections: |
||
November | December | |
Sales | $ 470,000 | $ 480,000 |
Schedule of expected cash collections: | ||
Accounts Receivable | $ 82,000 | |
November Sales ($470,000*60/100); ($470,000*40/100) | $ 282,000 | $ 188,000 |
December Sales ($480,000*60/100) | $ 288,000 | |
Total cash collections | $ 364,000 | $ 476,000 |
b) Merchandise Purchases Budget: | ||
November | December | |
Cost of Goods Sold ($470,000*70/100); ($480,000*70/100) | $ 329,000 | $ 336,000 |
Add: Desired ending inventory ($329,000*40/100); ($336,000*40/100) | $ 131,600 | $ 134,400 |
Total Needs | $ 460,600 | $ 470,400 |
Less: Beginning Inventory (Last month's ending inventory will be the beginning inventory for current month) | $ - | $ 131,600 |
Required purchases | $ 460,600 | $ 338,800 |
15. Capes Corporation is a wholesaler of industrial goods. Data regarding the store's operations follow: •...
Capes Corporation is a wholesaler of industrial goods. Data regarding the store's operations follow: • Sales are budgeted at $420,000 for November, $430,000 for December, and $410,000 for January • Collections are expected to be 60% in the month of sale and 40% in the month following the sale. • The cost of goods sold is 70% of sales. . The company desires an ending merchandise inventory equal to 40% of the cost of goods sold in the following month....
Capes Corporation is a wholesaler of industrial goods. Data regarding the store's operations follow: . Sales are budgeted at $440,000 for November, $450,000 for December, and $430,000 for January . Collections are expected to be 45% in the month of sale and 55% in the month following the sale. • The cost of goods sold is 80% of sales. . The company desires an ending merchandise inventory equal to 25% of the cost of goods sold in the following month....
Capes Corporation is a wholesaler of industrial goods. Data regarding the store's operations follow. 101 • Sales are budgeted at $420,000 for November, $430,000 for December, and $410,000 for January • Collections are expected to be 60% in the month of sale and 40% in the month following the sale. • The cost of goods sold is 70% of sales. • The company desires an ending merchandise inventory equal to 40% of the cost of goods sold in the following...
Capes Corporation is a wholesaler of industrial goods. Data regarding the store's operations follow: Sales are budgeted at $320,000 for November, $330,000 for December, and $310,000 for January. Collections are expected to be 40% in the month of sale and 60% in the month following the sale. The cost of goods sold is 75% of sales. The company desires an ending merchandise inventory equal to 20% of the cost of goods sold in the following month. Payment for merchandise is...
4. (7 points) Map Corporation is a wholesaler of industrial goods. Data regarding the store's operations follow: • Sales are budgeted at $390,000 for November, $360,000 for December, and $340,000 for January. • Collections are expected to be 85% in the month of sale and 15% in the month following the sale. • The cost of goods sold is 80% of sales. • The company desires an ending merchandise inventory equal to 40% of the cost of goods sold in...
Weller Industrial Gas Corporation supplies acetylene and other compressed gases to industry. Data regarding the store's operations follow: • Sales are budgeted at $370,000 for November, $390,000 for December, and $380,000 for January • Collections are expected to be 80% in the month of sale and 20% in the month following the sale. • The cost of goods sold is 74% of sales. • The company desires an ending merchandise inventory equal to 80% of the cost of goods sold...
Weller Industrial Gas Corporation supplies acetylene and other compressed gases to industry. Data regarding the store's operations follow: • Sales are budgeted at $320.000 for November. $340,000 for December, and $330,000 for January Collections are expected to be 70% in the month of sale and 30% in the month following the sale. • The cost of goods sold is 75% of sales. • The company desires an ending merchandise inventory equal to 75% of the cost of goods sold in...
Bramble Corporation is a small wholesaler of gourmet food products. Data regarding the store's operations follow: Sales are budgeted at $210,000 for November, $190,000 for December, and $180,000 for January. Collections are expected to be 50% in the month of sale and 50% in the month following the sale. The cost of goods sold is 55% of sales. The company would like maintain ending merchandise inventories equal to 45% of the next month's cost of goods sold. Payment for merchandise...
Weller Industrial Gas Corporation supplies acetylene and other compressed gases to industry. Data regarding the store's operation:s follow: . Sales are budgeted at $350,000 for November, $370,000 for December, and $360,000 for January. . Collections are expected to be 80% in the month of sale and 20% in the month following the sale · The cost of goods sold is 72% of sales * The company desires an ending merchandise inventory equal to 80% of the cost of goods sold...
Weller Industrial Gas Corporation supplies acetylene and other compressed gases to industry. Data regarding the store's operations follow: Sales are budgeted at $350,000 for November, $370,000 for December, and $360,000 for January. Collections are expected to be 80% in the month of sale and 20% in the month following the sale. The cost of goods sold is 69% of sales. The company desires an ending merchandise inventory equal to 80% of the cost of goods sold in the following month....