Beatrice Company estimates that unit sales of its lawn chairs will be 7,100 in October, 9,100 in November, and 9,900 in December. Compute Beatrice's sales budget for the fourth quarter, assuming each unit sells for $25.00. Budgeted sales revenue October November December 4th Quarter
Q: Mayron Industries manufactures dining chairs and tables. The following information is available:…
A: The manufacturing overhead refers to the indirect cost incurred by a factory for the production of…
Q: Pharoah Limited is a Niagara-on-the-Lake, Ontario-based winery producing blended, premium, and…
A: Price / Earnings ratio = Market price per share / Earnings per shareDividend Payout…
Q: Net cash provided by operating activities for the year ended December 31, 2022, was $125,800. The…
A: A cash flow statement indicates cash inflow and outflow information for a particular time period and…
Q: Surf Company can sell all of the two surfboard models it produces, but it has only 400 direct labor…
A: Lets understand the basics.When entity have scare input resource then management try to choose best…
Q: Computing Ending Inventory Using Dollar-Value LIF On January 1 of Year 5, Bay Inc. adopted…
A: Inventory:The inventory refers to the stock of the raw material which will be used in the production…
Q: the following excerpts from a company's balance sheet: Bonds payable Beginning Balance Ending…
A: Cash flow statement:— It is one of the financial statements that shows change in cash and cash…
Q: 3-39 CVP analysis, medical sector. Yahama Medical Centre operates a medical surgery in Japan that…
A: “Since you have posted a question with multiple sub parts, we will provide the solution only to the…
Q: Problem 4-29 (LO 4-1) (Algo) Jeremy (unmarried) earned $103,000 in salary and $6,150 in interest…
A: A tax refund is a payment issued to a taxpayer to make up for any excess taxes they have paid to the…
Q: The following information is taken from the balance sheet of Atlanta Company: Current assets…
A: 1.5 to 1Explanation:We compute it by dividing the current assets by the company's current…
Q: A company's net sales were $724,200, its cost of goods sold was $244,050 and its net income was…
A: GROSS MARGIN RATIO Gross Margin is the ratio between Gross Profit & Net Sales Revenue. Gross…
Q: Direct materials variances Bellingham Company produces a product that requires 2.3 standard pounds…
A: Lets understand the basics.Direct material price variance is a variance between the rate at which…
Q: Parker & Stone, Incorporated, is looking at setting up a new manufacturing plant in South Park to…
A: To determine the proper cash flow amount to use as the initial investment in fixed assets, we need…
Q: A building acquired at the beginning of the year at a cost of $1,800,000 has an estimated residual…
A: The fixed assets tend to provide benefits for more than one year and are shown under the balance…
Q: A corporation commences operations on January 1, 2019. It has the following account balances at…
A: The objective of this question is to calculate the retained earnings at the end of the year for a…
Q: Exercise 24-4 (Algo) Payback period, unequal cash flows, and depreciation adjustment LO P1 A machine…
A: Payback Period= Initial Investment / Cash flow per year
Q: Baltimore Company issued a $9,000 face value discount note to Bank of the Chesapeake on March 1,…
A: The adjustment to record interest expense on December 31, Year 1, would affect the financial…
Q: None
A: Depreciation :For calculating the depreciation expenses of assets we use the following…
Q: Rantzow-Lear Company buys and sells debt securities expecting to earn profits on short-term…
A: The fixed income payments and priority claim on assets in the event of bankruptcy make debt…
Q: Lexington is the payroll accountant at All's Fair Gifts. The employees of All's Fair Gifts are paid…
A: The amount that is left after all deductions from the gross wage or pay is known as net pay. Net pay…
Q: Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care…
A: The objective of the question is to calculate the net operating incomes earned by Division A,…
Q: Radar Company sells bikes for $490 each. The company currently sells 4,150 bikes per year and could…
A: Lets understand the basics.In special order situation, management have to choose between whether to…
Q: None
A: Investment is prescribed as the assets that are held by an enterprise to earn income or wealth in…
Q: Gross Pay through August 31 $ 6,600 2,200 131,600 Gross Pay for September $ 500 2,300 8,200 Assuming…
A: Payroll: It implies a process of maintaining the data of all the employees of the business,…
Q: An apartment building was acquired in 2014 by an individual taxpayer. The depreciation taken on the…
A: Unrecaptured § 1250 gain is an income tax provision. The unrecaptured § 1250 gain helps to recapture…
Q: Answer with all working
A: Balance SheetA Balance Sheet is a statement that shows a company's financial position. From this, we…
Q: Christmas Anytime Issues $700,000 of 5% bonds, due in 15 years, with Interest payable semiannually…
A: The bonds are the debt instruments that are issued either by the governed entity or corporation. The…
Q: if current ratio increases and quick ratio decreases what is most likely going on? a. inventory is…
A: Current Ratio: This ratio assesses how well a business can use its short-term assets to cover its…
Q: Required: a. Identify Brandon's statutory marginal rate and compute average tax rate assuming…
A: The marginal tax rate is the percentage of tax applied to the last dollar of income earned,…
Q: Peachtree Company borrows $23,000 from the local bank at 5% interest. The term of the note is 5…
A: Under installment note financing, the amount is borrowed with the promise to repay at predetermined…
Q: How much is the remittance of MedLab Inc. to the bank by the end of September?
A: Cash Remittance A cash remittance is one in which the sender puts cash into the recipient's account…
Q: None
A: Ending inventory is the amount of inventory that an entity has on hand, at the end of the period. It…
Q: Lavage Rapide is a Canadian company that owns and operates a large automatic car wash facility near…
A: Flexible Budget for variable cost is calculated by multiplying budgeted variable cost per activity…
Q: Answer the following questions 1. 2. A company has an inventory of 1,050 assorted parts for a line…
A: Since you have posted multiple questions, we will provide the solution only to the first question as…
Q: On June 30, Sharper Corporation's stockholders' equity section of its balance sheet appears as…
A: The larger stock dividend are issued on the basis of the par value of shares. The stock dividend…
Q: Marigold's Vegetable Market had the following transactions during 2020: 1. Issued $46000 of par…
A: The cash flow statement is used to record the various activities for the inflow and outflow of cash…
Q: Nordstrom, Inc. operates department stores in numerous states. Selected hypothetical financial…
A: Ratio analysis is used by the user of the financial statements to assess the company on various…
Q: Sunland Creations sells window treatments (shades, blinds, and awnings) to both commercial and…
A: ACTIVITY BASED COSTINGActivity Based Costing is a Powerful tool for measuring…
Q: Required: 1. Calculate the net operating incomes earned by Division A, Division B, and the company…
A: Contribution margin is determined after subtracting the variable costs (like materials, labor) from…
Q: Bonnie and Jake (ages 35 and 36, respectively) are married with no dependents and live together in…
A: Income tax is based on income. Suppose a person has salary income, capital gain income, house rent…
Q: A manufactured product has the following Information for August. Direct materials Direct labor…
A: STANDARD COST CARDStandard Cost Card represents the Standard Cost Required for Unit of…
Q: None
A: Profitability is the measure of an organization's capacity to generate a profit relative to its…
Q: Jordan Electronics currently produces the shipping containers it uses to deliver the electronics…
A: MAKE OR BUY ANALYSIS Buy cost is the cost of purchasing the product from outside.Make cost is the…
Q: Crane Solutions Company just began business and made the following four inventory purchases in June:…
A: Ending inventory is the amount of inventory that an entity has on hand, at the end of the period. It…
Q: Mr. Ortega earns a monthly salary of $9,200. Based on Mr. Ortega's Form W-4, the tax tables require…
A: A payroll register is a document that lists every employee's pay information for a given time frame,…
Q: On July 1, 2024, Li-Ma Industries issued nine-month notes in the amount of $600 million. Interest is…
A: Interest expense is the amount of cost incurred by the entity on the payment of interest on notes,…
Q: Shadee Corporation expects to sell 630 sun shades in May and 410 in June. Each shades sells for $14.…
A: The budget is prepared to estimate the requirements for the period. A cash receipts schedule is…
Q: Given the information below, what is the gross profit? Sales revenue Accounts receivable Ending…
A: Gross profit is the amount of money earned by the entity after deducting cost of goods sold from the…
Q: Problem 10-53 (LO 10-2, LO 10-3) (Algo) [The following information applies to the questions…
A: Answer:- Depreciation:- When the assets are purchased in the business it is used in the production…
Q: Huron Company produces a cleaning compound known as Zoom. The direct materials and direct labor…
A: Standard costing means where standard is set for various cost element and actual cost is then…
Q: Via Gelato, a popular neighborhood gelato shop, provided the following cost formulas and actual…
A: Variances is the amount of difference between the actual values and the values estimated by the…
dont provide handwriiting solution..
Unlock instant AI solutions
Tap the button
to generate a solution
Click the button to generate
a solution
- 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. 156,000Pilsner Inc. purchases raw materials on account for use in production. The direct materials purchases budget shows the following expected purchases on account: Pilsner typically pays 25% on account in the month of billing and 75% the next month. Required: 1. How much cash is required for payments on account in May? 2. How much cash is expected for payments on account in June?Barnstormer sells airplane accessories for $20 each. It expects sales of 120,000 units in quarter 1 and a 7% increase each subsequent quarter for the next 8 quarters. Prepare a sales budget by quarter for the first year.
- Operating Budget, Comprehensive Analysis Allison Manufacturing produces a subassembly used in the production of jet aircraft engines. The assembly is sold to engine manufacturers and aircraft maintenance facilities. Projected sales in units for the coming 5 months follow: The following data pertain to production policies and manufacturing specifications followed by Allison Manufacturing: a. Finished goods inventory on January 1 is 32,000 units, each costing 166.06. The desired ending inventory for each month is 80% of the next months sales. b. The data on materials used are as follows: Inventory policy dictates that sufficient materials be on hand at the end of the month to produce 50% of the next months production needs. This is exactly the amount of material on hand on December 31 of the prior year. c. The direct labor used per unit of output is 3 hours. The average direct labor cost per hour is 14.25. d. Overhead each month is estimated using a flexible budget formula. (Note: Activity is measured in direct labor hours.) e. Monthly selling and administrative expenses are also estimated using a flexible budgeting formula. (Note: Activity is measured in units sold.) f. The unit selling price of the subassembly is 205. g. All sales and purchases are for cash. The cash balance on January 1 equals 400,000. The firm requires a minimum ending balance of 50,000. If the firm develops a cash shortage by the end of the month, sufficient cash is borrowed to cover the shortage. Any cash borrowed is repaid at the end of the quarter, as is the interest due (cash borrowed at the end of the quarter is repaid at the end of the following quarter). The interest rate is 12% per annum. No money is owed at the beginning of January. Required: 1. Prepare a monthly operating budget for the first quarter with the following schedules. (Note: Assume that there is no change in work-in-process inventories.) a. Sales budget b. Production budget c. Direct materials purchases budget d. Direct labor budget e. Overhead budget f. Selling and administrative expenses budget g. Ending finished goods inventory budget h. Cost of goods sold budget i. Budgeted income statement j. Cash budget 2. CONCEPTUAL CONNECTION Form a group with two or three other students. Locate a manufacturing plant in your community that has headquarters elsewhere. Interview the controller for the plant regarding the master budgeting process. Ask when the process starts each year, what schedules and budgets are prepared at the plant level, how the controller forecasts the amounts, and how those schedules and budgets fit in with the overall corporate budget. Is the budgetary process participative? Also, find out how budgets are used for performance analysis. Write a summary of the interview.The sales department of Macro Manufacturing Co. has forecast sales for its single product to be 20,000 units for June, with three-quarters of the sales expected in the East region and one-fourth in the West region. The budgeted selling price is 25 per unit. The desired ending inventory on June 30 is 2,000 units, and the expected beginning inventory on June 1 is 3,000 units. Prepare the following: a. A sales budget for June. b. A production budget for June.Cash budget The controller of Bridgeport Housewares Inc. instructs you to prepare a monthly cash budget for the next three months. You are presented with the following budget information: The company expects to sell about 10% of its merchandise for cash. Of sales on account, 70% are expected to be collected in the month following the sale and the remainder the following month (second month following sale). Depreciation, insurance, and property tax expense represent 50,000 of the estimated monthly manufacturing costs. The annual insurance premium is paid in January, and the annual property taxes are paid in December. Of the remainder of the manufacturing costs, 80% are expected to be paid in the month in which they are incurred and the balance in the following month. Current assets as of September 1 include cash of 40,000, marketable securities of 75,000, and accounts receivable of 300,000 (60,000 from July sales and 240,000 from August sales). Sales on account for July and August were 200,000 and 240,000, respectively. Current liabilities as of September 1 include 40,000 of accounts payable incurred in August for manufacturing costs. All selling and administrative expenses are paid in cash in the period they are incurred. An estimated income tax payment of 55,000 will be made in October. Bridgeports regular quarterly dividend of 25,000 is expected to be declared in October and paid in November. Management desires to maintain a minimum cash balance of 50,000. Instructions Prepare a monthly cash budget and supporting schedules for September, October, and November. On the basis of the cash budget prepared in part (1), what recommendation should be made to the controller?
- Cash budget The controller of Mercury Shoes Inc. instructs you to prepare a monthly cash budget for the next three months. You are presented with the following budget information: The company expects to sell about 10% of its merchandise for cash. Of sales on account, 60% are expected to be collected in the month following the sale and the remainder the following month (second month after sale). Depreciation, insurance, and property tax expense represent 12,000 of the estimated monthly manufacturing costs. The annual insurance premium is paid in February, and the annual property taxes are paid in November. Of the remainder of the manufacturing costs, 80% are expected to be paid in the month in which they are incurred and the balance in the following month. Current assets as of June 1 include cash of 42,000, marketable securities of 25,000, and accounts receivable of 198,000 (150,000 from May sales and 48,000 from April sales). Sales on account in April and May were 120,000 and 150,000, respectively. Current liabilities as of June 1 include 13,000 of accounts payable incurred in May for manufacturing costs. All selling and administrative expenses are paid in cash in the period they are incurred. An estimated income tax payment of 24,000 will be made in July. Mercury Shoes regular quarterly dividend of 15,000 is expected to be declared in July and paid in August. Management desires to maintain a minimum cash balance of 40,000. Instructions Prepare a monthly cash budget and supporting schedules for June, July, and August. On the basis of the cash budget prepared in part (1), what recommendation should be made to the controller?Eastman, Inc., manufactures and sells three products: R, S, and T. In January, Eastman, Inc., budgeted sales of the following. At the end of the year, actual sales revenue for Product R and Product S was 3,075,000 and 3,254,000, respectively. The actual price charged for Product R was 25 and for Product S was 20. Only 10 was charged for Product T to encourage more consumers to buy it, and actual sales revenue equaled 540,000 for this product. Required: 1. Calculate the sales price and sales volume variances for each of the three products based on the original budget. 2. Suppose that Product T is a new product just introduced during the year. What pricing strategy is Eastman, Inc., following for this product?Shalimar Company manufactures and sells industrial products. For next year, Shalimar has budgeted the follow sales: In Shalimars experience, 10 percent of sales are paid in cash. Of the sales on account, 65 percent are collected in the quarter of sale, 25 percent are collected in the quarter following the sale, and 7 percent are collected in the second quarter after the sale. The remaining 3 percent are never collected. Total sales for the third quarter of the current year are 4,900,000 and for the fourth quarter of the current year are 6,850,000. Required: 1. Calculate cash sales and credit sales expected in the last two quarters of the current year, and in each quarter of next year. 2. Construct a cash receipts budget for Shalimar Company for each quarter of the next year, showing the cash sales and the cash collections from credit sales. 3. What if the recession led Shalimars top management to assume that in the next year 10 percent of credit sales would never be collected? The expected payment percentages in the quarter of sale and the quarter after sale are assumed to be the same. How would that affect cash received in each quarter? Construct a revised cash budget using the new assumption.
- The sales department of F. Pollard Manufacturing Co. has forecast sales in March to be 20,000 units. Additional information follows: Materials used in production: Prepare the following: a. A production budget for March (in units). b. A direct materials budget for the month (in units and dollars).Pasadena Candle Inc. projected sales of 800,000 candles for January. The estimated January 1 inventory is 35,000 units, and the desired January 31 inventory is 20,000 units. What is the budgeted production (in units) for January?Navigator sells GPS trackers for $50 each. It expects sales of 5,000 units in quarter 1 and a 5% increase each subsequent quarter for the next 8 quarters. Prepare a sales budget by quarter for the first year.