QUESTION 10 William is a trading company that holds no inventories; it pays for some of its supplies in the month of purchase and the rest in the month after. Each month the following relationships hold: Gross profit Closing trade payables 40% of sales 10% of the cost of sales Sales are budgeted to be £68,000 in April and £58,000 in May. How much cash is budgeted to be paid in May to suppliers? OA. £30,600 OB. £25,000 OC.£35,400 OD. £32,700 仔

QUESTION 10 William is a trading company that holds no inventories; it pays for some of its supplies in the month of purchase and the rest in the month after. Each month the following relationships hold: Gross profit Closing trade payables 40% of sales 10% of the cost of sales Sales are budgeted to be £68,000 in April and £58,000 in May. How much cash is budgeted to be paid in May to suppliers? OA. £30,600 OB. £25,000 OC.£35,400 OD. £32,700 仔

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter8: Budgeting For Planning And Control

Section: Chapter Questions

Problem 34E: A companys sales for the coming months are as follows: About 20 percent of sales are cash sales, and...

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Problem 3. Taura Corp has the following past information for its credit sales: 60% of sales are collected in month of sale 25% of sales are collected in the month after sale 8% of sales are collected in the second month after sale 5% of sales are collected in the third month after sale 2% uncollectible Credit sales for the last six months of the year are budgeted as follow. July August September October US$20,000 25,000 30,000 35,000 40,000 32,500 November December Required: Calculate the estimated total cash collections during the year's fourth quarter (October, November, and December).
COVID 19 Co has forecast sales to be $128,000 in February, $137,000 in March, $151,000 in April, and $148,000 in May. The average cost of goods sold is 70% of sales All sales are on made on credit and sales are collected 60% in the month of sale, and 40% the month following What are budgeted cash receipts in May? Select one O a $149,20o OF b.$133,400 O S137,400 d. $96,900
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Question 8 Forty percent of Soft Company’s sales are for cash and 60% are on account. Fifty percent of the account sales are collected in the month of sale. 30% in the month following sale and 20% in the second month following sale. The following are budgeted sales data for the company. January – P60,000 February – P40,000 March – P50,000 Total cash receipts in March are expected to be?
Question 1 The following data apply to the HASF Hardware Store and its 2011 budget Forecast Sales Jan $200,000 Feb $160,000 Mar $180,000 Apr $45,000 Balance Sheet Data December 31,2010 Cash $80,000 Account receivable: November sales 45000 December sales 50000 Inventory 54000 Account payable(merchandise) 27000 Other data are as follows: Sales are on credit with 60% of sales collected in the same month after sale ,40% in the second month after sale Cost of goods sold is 50% of sales Other variables costs are 30% of sales paid in the month incurred Inventories are to be 80% of next month’s budgeted sales requirements Fixed expenses are $15000 per month; all require cash Credit time period for purchases are 30 days On basis of above information answer following questions Find fixed expense in the month of March?
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