During 2024, its first year of operations, Ashbaugh Industries recorded sales of $21,500,000 and experienced returns of $1,450,000. Returns are accounted for as they occur, with additional estimated returns accrued at the end of the period. Cost of goods sold totaled $15,050,000 (70% of sales). The company estimates that 8% of all sales will be returned. The year-end adjusting journal entry to account for anticipated sales returns would include a:

During its first year of operations, Purple Company recorded sales of $4,000,000. Based on industry statistics, Purple estimates 5% of all sales will be returned. Actual returns during the year totaled $160,000. The year-end adjusting journal entry to account for estimated sales returns would include a: Credit to Refund Liability of $40,000 Debit to Sales Returns of $200,000 Credit to Sales Returns of $40,000 Debit to Refund Liability of $200,000 7 DO

Sales receipts.  California Cement Company anticipates the following​ fourth-quarter sales for​ 2014:   ​$1,816,000 ​(October), $1,570,000 ​(November), and ​$2,074,000 ​(December). It posted the following sales figures for the third quarter of​ 2014:   $1,859,000 ​(July), ​$1,945,000 ​(August), and ​$2,164,000 ​(September). The company sells 44% of its products on​ credit, and 56% are cash sales. The company collects credit sales as​ follows:   29% in the following​ month, 50% two months​ later, and 18% three months​ later, with 3% defaults. What are the anticipated cash inflows for the last quarter of​ 2014? Given the July sales of $1,859,000​, The amount collected in July is (Round to the nearest​ dollar.) The amount collected in August is ​(Round to the nearest​ dollar.) The amount collected in September is ​(Round to the nearest​ dollar.) The amount collected in October is ​(Round to the nearest​ dollar.) The amount not collected is ​(Round to the nearest​ dollar.) Given the August…

The Runner Antique Mall expects to make purchases in the first quarter of 2021 as follows: January $85,500 February 108,000 March 76,500 Purchases in December 2020 are expected to be $82,600. The company expects that 50 percent of a month's purchases will be paid in the month of purchase and 50 percent will be paid in the following month. Estimate cash disbursements related to purchases for each month of the first quarter of 2021.

The table given below summarizes the 2019 income statement and end-year balance sheet of Drake’s Bowling Alleys. Drake’s financial manager forecasts a 10% increase in sales and costs in 2020. The ratio of sales to average assets is expected to remain at 0.40. Interest is forecasted at 5% of debt at the start of the year.   Income Statement $ in thousands Sales $ 2,600 (40% of average assets)a Costs   1,950 (75% of sales) Interest   105 (5% of debt at start of year)b Pretax profit   545   Tax   218 (40% of pretax profit) Net income $ 327     aAssets at the end of 2018 were $6,240,000. bDebt at the end of 2018 was $2,100,000.   Balance Sheet $ in thousands Net assets $ 6,760   Debt $ 2,100           Equity   4,660   Total $ 6,760   Total $ 6,760       a. What is the implied level of assets at the end of 2020? (Enter your answer in dollars not in thousands.)     b. If the company pays out 50% of net income as dividends, how much cash will Drake need…

Compute trend percents for the following accounts using 2020 as the base year. For each of the three accounts, state whether the situation as revealed by the trend percents appears to be favourable or unfavourable. 2024 2023 Sales Cost of goods sold Accounts receivable $ 553,119 290,122 26,882 $ 363,894 190,775 21,215 2022 $ 292,284 155,088 20,021 2021 $ 210,276 110,844 12,322 2020 $ 159,300 82,836 10,928 2024: 2023: 2022: 2021: 2020: Numerator: Trend Percent for Net Sales: 1 Is the trend percent for Net Sales favourable or unfavourable? 2024: 2023: 2022: 2021: 2020: Denominator: = Trend percent 0 % 0% 0% 0% 0 % Trend Percent for Cost of Goods Sold: Numerator: Denominator: Is the trend percent for Cost of Goods Sold favourable or unfavourable? = Trend percent 0% 0% 0% 0% 0%

The following tables summarizes the 2019 income statement and end-year balance sheet of Drake’s Bowling Alleys. Drake’s financial manager forecasts a 10% increase in sales and costs in 2020. The ratio of sales to average assets is expected to remain at 0.40. Interest is forecasted at 5% of debt at the start of the year.   INCOME STATEMENT, 2019 (Figures in $ thousands) Sales $ 1,120   (40% of average assets)a Costs   840   (75% of sales) Interest   26   (5% of debt at start of year)b Pretax profit $ 254     Tax   101   (40% of pretax profit) Net income $ 152       a Assets at the end of 2018 were $2,700,000. b Debt at the end of 2018 was $530,000.   BALANCE SHEET, YEAR-END (Figures in $ thousands) Assets   $ 2,900       Debt $ 530                 Equity   2,370   Total   $ 2,900         $ 2,900       a. What is the implied level of assets at the end of 2020? (Do not round your intermediate calculations. Enter your answer in thousands.) b. If the…