Firm sales for July are projected as $100,000. The sales in May and June were $60,000 and $75,000 respectively. The firm's collection during month of sales id 15%, during month after sales is 65% and during two months after sales is 20%. The firm offers a 3% incentive to pay during month of sales. Further, firm applies a bad debt loss of 10% two months after sale (June Sales). What is the expected cash collection for the month of July    a. $75,750   b. 74100   c. $100,000   d. $$97,000   e. None of the above

The Bandon Pine Corporation's purchases from suppliers in a quarter are equal to 60 percent of the next quarter's forecast sales. The payables period is 60 days. Wages, taxes, and other expenses are 25 percent of sales and interest and dividends are $95 per quarter. No capital expenditures are planned. Here are the projected quarterly sales: Q1 az 03 Q4 Sales $1,860 $2,160 $1,860 $1,560 Sales for the first quarter of the following year are projected at $2,190. Calculate the company's cash outleys by completing the following: (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Payment of accounts Wages, taxes, other expenses Long-term financing expenses (interest and dividends) Q1 Q2 Q3 Q4

ABC Office Furniture sells its primary product, an office chair, at R150 per unit. Total credit sales for the previous financial year were 4 000 units. The variable cost to manufacture one chair is R60 and the total fixed costs for the year are R80 000. The entity’s credit terms are 2/10 net 45 and it is considering tightening its credit standards to 3/7 net 30. This is expected to result in a 5% decrease in sales, but bad debt is expected to decrease from 2% of credit sales to 1%. The average collection period is expected to decrease from the current 45 days to 30 days. In the past, 20% of debtors accepted the discount. This percentage is not expected to change. The entity’s cost of capital is 14%. Assume 365 days per year. To calculate the effect of the tightening of credit standards, the entity needs to calculate the following: ■ the profit loss or gain from a decrease or an increase in sales ■ the cost of the marginal investment in accounts receivable ■ the cost of marginal bad…

cO X HAS cASH BALANCE OF $33 AND SHORT TERM LOAN BALANCE OF $200 AT THE BEGINNING OF QTR 1. THE NET CASH INFLOW FOR THE 1ST QTR IS $89 AND THE FOR THE SECOND QTR THERE IS A NET CAHS OUTFLOW OF $44. aLL CASH SHORTFALLS ARE FUNDED WITH SHORT TERM DEBT. THE FIRM PAYS 2% OF ITS PRIOR QUARTERS ENDING LOAN BALANCE AS INTERST EACH QUARTER. THE MINIMUM CASH BALANCE IS $25. wHAT IS THE SHORT TERM LOAN BALANCE AT THE END OF THE YEAR? available anwsers are 107 111 121 128 133