A July sales forecast prokects that 6000 units are going to be sold at a price of $11.50 per unit. Management forecasts 2% growth in each sales month. Total August sales are anticipated to be:
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- A companys sales for the coming months are as follows: About 20 percent of sales are cash sales, and the remainder are credit sales. The company finds that typically 10 percent of a months credit sales are paid in the month of sale, 70 percent are paid the next month, and 15 percent are paid in the second month after sale. Expected cash receipts in July are budgeted at what amount? a. 114,520 b. 143,150 c. 145,720 d. 156,000If the sales forecast estimates that 50,000 units of product will be sold during the following year, should the factory plan on manufacturing 50,000 units in the coming year? Explain.Macom Manufacturing has total contribution margin of $61,250 and net income of $24,500 for the month of June. Marcus expects sales volume to increase by 10% in July. What are the degree of operating leverage and the expected percent change in income for Macom Manufacturing? 0.4 and 10% 2.5 and 10% 2.5 and 25% 5.0 and 50%
- Ranger Industries has provided the following information at June 30: Other information: Average selling price, 196 Average purchase price per unit, 110 Desired ending inventory, 40% of next months unit sales Collections from customers: In month of sale20% In month after sale50% Two months after sale30% Projected cash payments: Inventory purchases are paid for in the month following acquisition. Variable cash expenses, other than inventory, are equal to 25% of each months sales and are paid in the month of sale. Fixed cash expenses are 40,000 per month and are paid in the month incurred. Depreciation on equipment is 2,000 per month. REQUIREMENT You have been asked to prepare a master budget for the upcoming quarter (July, August, and September). The components of this budget are a monthly sales budget, a monthly purchases budget, a monthly cash budget, a forecasted income statement for the quarter, and a forecasted September 30 balance sheet. The worksheet MASTER has been provided to assist you. Ranger Industries desires to maintain a minimum cash balance of 8,000 at the end of each month. If this goal cannot be met, the company borrows the exact amount needed to reach its goal. If the company has a cash balance greater than 8,000 and also has loans payable outstanding, the amount in excess of 8,000 is paid to the bank. Annual interest of 18% is paid on a monthly basis on the outstanding balance.A July sales forecast projects that 7,300 units are going to be sold at a price of $11.80 per unit. Management forecasts 15% growth in sales each month. What would the July sales be?A Company has the following sales 2,000 in January, 2,200 in February, 2,800 in April and 3,000 in May. Assuming the selling prices is P100/unit. Sales for each month are expected to be collected as follows: • Month of sales: 20% A month after sales: 50% • 2 months after sales: 30% - How much is total receipts from sales? Units sold in March = Total units - (units sold in January+ units sold in feb + units sold in april + units sold in may) = 12500 (2000 + 2200 + 2800 +3000) =12500 units -9000 units = 2500 units Jan Feb Mar May 3,000 300,000 P1,250,000 60,000 ТОTAL Units Sold Sales in Pesos Collection from current months sales Apr 2,800 280,000 56,000 2,200 2,000 200.000 2,500 250,000 50,000 12, 500 220.000 40,000 44,000 P250,000 Collection from previous months sales 100,000 110,000 125,000 140,000 P475,000 Collection from two months 60,000 66,000 75,000 P201,000 sales Total Collections from Sales 40,000 144,000 220,000 247,000 275,000 P926,000 PRACTICE EXERCISE 1: Fill the table…
- A July sales forecast projects that 8,000 units are going to be sold at a price of $9.00 per unit. Management forecasts 2% growth in sales each month. Total August sales are anticipated to be: Multiple Choice $72,000. $70,560. $74,880. $73.440. $68,000.An August sales forecast projects 6,000 units are going to be sold at a price of $10.00 per unit. The desired ending inventory in units is 15% higher than the beginning inventory of 1,000 units. Total August sales are anticipated to be: $57,500 $80,500 $69,000 $60,000Consider the following information: Jan Feb Mar Sales (units) 4.9k 52.00k Production (units) 5.8k 52.30k 56.65k April sales are expected to be 71.50k units. The firm has 9.1k units on hand at the beginning of Jan and wishes to maintain 10% of the next month's unit sales in storage at the end of each month. Required: Calculate the expected unit sales for Mar. Note: The term "K" is used to represent thousands (x 1,000). kunits (ROUND YOUR ANSWER TO 2 DECIMAL PLACES. FOR EXAMPLE: 17.23)
- Paymore Products places orders for goods equal to 75% of its sales forecast in the next quarter. What will orders be in each quarter of the year if the sales forecasts for the next five quarters are as follows: Quarter in Coming Year Following Year First Second Third Fourth First Quarter Sales forecast $ 372 $ 360 $ 336 $ 384 $ 384ARE YOU READY TO PRACTICE: Complete the table below. A Company has the following sales 2,000 in January, 2,200 in February, 2,800 in Apr and 3,000 in May. Assuming the selling prices is P100/unit. Sales for each month ar expected to be collected as follows: • Month of sales: 20% ► A month after sales: 50% ► 2 months after sales: 30% - How much is total receipts from sales? Apr Jan Feb Mar May Total Units Sold 12, 500 P1,250,000 P250,000 Sales in Pesos Collection from current months sales Collection from previous P150,000 months sales Collection from two months P84,000 sales Total Collections from Sales 40,000 P926,000 PRACTICE EXERCISE 1: Fill the table below. A Company has the following sales 2,000 in January, 2,200 in February, 2,800 in April and 3,00 in May. Assume that cost per unit is PHP50. All purchases this month are paid the following month. How much is total cash disbursements for purchases? Jan Feb Mar Apr May Total Required production Cost in Pesos Payment from current…Given: Month Total Sales/month November December January February March P1,500 8,000 6,000 7,200 8,600 Requirements: (Show solutions) 1. What is the growth rate per month? 2. What is the Average growth rate? 3. Forecast for the next 6-month the Total Sales, based on the above previous sales performance.