Chinton Company sells air purifiers to customers for $150 per unit. An overseas company supplies the purifiers for$80 per unit.All sales are for cash and the company pays the supplier immediately. The company has budgeted the followingdata for the first quarter:JanuaryFebruary2,500Sales (in units)Cash, beginning balanceSelling and administrative (of which depreciation, $8,000)Required minimum cash balanceMarch2,000$42,000$205,000$20,0002,100?$205,000$20,000$205,000$20,000company will borrow cash from a bank through their credit-line arrangement on the first day ofeach month. Assume that they can borrow in increment of $1,000. The bank requires an interest payment at the endof each month at a monthly rate of 1%, starting from the first month when the company borrows cash. What is the3 If necessary, theclosest amount of cash balance on February 1?JANARLYSALE S 30,0A. $30,95920,64030,92030,340E. None of the aboveВ.24COGSO 00160,0С.2414000042,000D.24GMBB205 00 0-23,00043201During the past year, Madison Company, which uses a standard costing system, applied its variable manufacturingoverhead (VMOH) costs to products using machine hours (MHs) as the allocation base. Additional information foyear just ended is:Standard VOH rate6.00 per standard MH 2 2,12.$Actual Results:Total VMOH cost2$66,824VMOH Efficiency Variance2$2,840 FavorableVMOH Rate Variance2$1,264 Unfavorable4 If Madison's standards call for 2 MHs per unit, actual units produced for the year were:А.В.11,400 units5,911 units5,700 units5,227 units(AH* AR)- CAH A SPC.С.D.E. None of above.

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Cnton Company sells air purifiers to customers for $150 per unit. An overseas company supplies the purifiers for per unit. $80 Al sales are for cash and the company pays the supplier immediately. The company has budgeted the following data for the first quarter: Sales (in units) Cash, beginning balance Selling and administrative (of which depreciation, $8,000) Required minimum cash balance January February 2,000 $42,000 $205,000 $20,000 March 2,500 2,100 $205,000 $20,000 3 If necessary, the company will borrow cash from a bank through their credit-line arrangement on the first day of $205,000 $20,000 each month. Assume that they can borrow in increment of $1,000. The bank requires an interest payment at the end of each month at a monthly rate of 1%, starting from the first month when the company borrows cash. What is the closest amount of cash balance on February 1? JAWARY 309,000 160,00 140000 42.00 А. $ SALES 30,959 20,640 30,920 30,340 E. None of the above В. 2$ С. 2$ COGSO D. $

Cnton Company sells air purifiers to customers for $150 per unit. An overseas company supplies the purifiers for per unit. $80 Al sales are for cash and the company pays the supplier immediately. The company has budgeted the following data for the first quarter: Sales (in units) Cash, beginning balance Selling and administrative (of which depreciation, $8,000) Required minimum cash balance January February 2,000 $42,000 $205,000 $20,000 March 2,500 2,100 $205,000 $20,000 3 If necessary, the company will borrow cash from a bank through their credit-line arrangement on the first day of $205,000 $20,000 each month. Assume that they can borrow in increment of $1,000. The bank requires an interest payment at the end of each month at a monthly rate of 1%, starting from the first month when the company borrows cash. What is the closest amount of cash balance on February 1? JAWARY 309,000 160,00 140000 42.00 А. $ SALES 30,959 20,640 30,920 30,340 E. None of the above В. 2$ С. 2$ COGSO D. $

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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