4. The Khaki Company has the following budgeted sales data:
January February March April Credit Sales...
4. The Khaki Company has the following budgeted sales data:
January February March April Credit Sales $350,000 $320,000
$400,000 $360,000 Cash Sales $70,000 $90,000 $80,000 $70,000 The
regular pattern of collection of credit sales is 30% in the month
of sales, 25% in the month following sales, and the remainder in
the second month following the month of sale. There are no bad
debts. Required: a. Determine budgeted cash receipts for April. b.
Determine budgeted accounts receivable balance on March...
The following credit sales are budgeted by ELO Company:
January
$51,000
February
$75,000
March
$105,000
April...
The following credit sales are budgeted by ELO Company:
January
$51,000
February
$75,000
March
$105,000
April
$90,000
The company’s past experience indicates that 70% of the accounts
receivable are collected in the month of sale, 20% in the month
following the sale, and 8% in the second month following the sale.
The anticipated cash inflow for the month of April is:
$84,000.
$90,000.
$88,200.
$92,580.
Kline Sisters Company operates a gift shop where peak sales and
activity occur in the months...
Kline Sisters Company operates a gift shop where peak sales and
activity occur in the months of December and January. Data
regarding the store's operations follow:
Sales are budgeted at $360,000 for January, 320,000 for
February, and $250,000 for March and $240,000 in April.
Collections are expected to be 30% in the month of sale, 65% in
the month following the sale, 3% in the second month following sale
and 2% uncollectible.
The cost of goods sold is 76% of...
Newman Medical Clinic has budgeted the following cash flows.
January February March Cash receipts $ 110,000...
Newman Medical Clinic has budgeted the following cash flows.
January February March Cash receipts $ 110,000 $ 116,000 $ 136,000
Cash payments For inventory purchases 95,000 77,000 90,000 For
S&A expenses 36,000 37,000 32,000 Newman Medical had a cash
balance of $13,000 on January 1. The company desires to maintain a
cash cushion of $9,000. Funds are assumed to be borrowed, in
increments of $1,000, and repaid on the last day of each month; the
interest rate is 2 percent...
The following data relate to the operations of Soper Company, a
wholesale distributor of consumer goods...
The following data relate to the operations of Soper Company, a
wholesale distributor of consumer goods as of March 31:
Cash
$
8,000
Accounts
receivable
20,000
Inventory
36,000
Building and equipment,
net
120,000
Accounts
payable
21,750
Common shares
150,000
Retained
earnings
12,250
a.
The gross margin is 25% of
sales.
b.
Actual and budgeted sales data
are as follows:
March (actual)
$
50,000
April
$
60,000
May
$
72,000
June
$
90,000
July
$
48,000
c.
Sales are 60% for...
Built-Tight is preparing its master budget for the quarter ended
September 30. Budgeted sales and cash...
Built-Tight is preparing its master budget for the quarter ended
September 30. Budgeted sales and cash payments for product costs
for the quarter follow.
July
August
September
Budgeted sales
$
59,500
$
75,500
$
52,500
Budgeted cash payments for
Direct materials
17,060
14,340
14,660
Direct labor
4,940
4,260
4,340
Factory overhead
21,100
17,700
18,100
Sales are 30% cash and 70% on credit. All credit sales are
collected in the month following the sale. The June 30 balance
sheet includes balances...
Consider these abbreviated financial statements for Tomkat
LLC:
Income Statement
2013
Sales (all credit)
2,000,000
Cost...
Consider these abbreviated financial statements for Tomkat
LLC:
Income Statement
2013
Sales (all credit)
2,000,000
Cost of Goods Sold
1,360,000
Cash Expenses
300,000
Depreciation
120,000
Taxes
120,000
Net Income
100,000
Balance Sheet
2012
2013
Cash
10,000
12,000
Accounts Receivable
300,000
320,000
Inventory
410,000
430,000
Total Current Assets
720,000
762,000
Net Fixed Assets
1,200,000
1,320,000
Total Assets
1,920,000
2,082,000
Accounts Payable
44,000
48,000
Long Term Debt
666,000
724,000
Owners Equity
1,210,000
1,310,000
Total Debt and Equity
1,920,000
2,082,000
(a) Prepare a...
ABC Company has the following financial information for
2018:
Total current assets: $2,200,000
Total current liabilities:...
ABC Company has the following financial information for
2018:
Total current assets: $2,200,000
Total current liabilities: $1,200,000
Cash: $300,000
Inventory: $1,000,000
Accounts Receivable: $800,000
Accounts Payable: $500,000
Net sales is $10,000,000
Variable cost (VCR) is 30% of sales
Cost of Goods Sold (COGS) at 40% of sales
Average daily cash flow $27,000
Standard deviation of cash flow is $40,000
Its ROE is 25%
Total earnings of $500,000, dividend payout of $150,000.
Its cost of capital is 7%
Line of credit...
orten Company, a merchandiser, recently completed its
calendar-year 2017 operations. For the year, (1) all sales...
orten Company, a merchandiser, recently completed its
calendar-year 2017 operations. For the year, (1) all sales are
credit sales, (2) all credits to Accounts Receivable reflect cash
receipts from customers, (3) all purchases of inventory are on
credit, (4) all debits to Accounts Payable reflect cash payments
for inventory, and (5) Other Expenses are paid in advance and are
initially debited to Prepaid Expenses. The company’s income
statement and balance sheets follow.
FORTEN COMPANY
Comparative Balance Sheets
December 31, 2017...
Forten Company, a merchandiser, recently completed its
calendar-year 2015 operations. For the year, (1) all sales...
Forten Company, a merchandiser, recently completed its
calendar-year 2015 operations. For the year, (1) all sales are
credit sales, (2) all credits to Accounts Receivable reflect cash
receipts from customers, (3) all purchases of inventory are on
credit, (4) all debits to Accounts Payable reflect cash payments
for inventory, and (5) Other Expenses are paid in advance and are
initially debited to Prepaid Expenses. The company’s income
statement and balance sheets follow.
FORTEN COMPANY
Comparative Balance Sheets
December 31, 2015...