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Unformatted text preview: ACG 2071 Quiz Name____________________________________ October 16, 2007 Gator, Inc. has the following sales budget: Month Cash Sales Credit Sales September $100,000 $300,000 October 125,000 280,000 November 130,000 310,000 December 135,000 290,000 50% of credit sales are collected in the month of sale, 40% in the first month following the sale, and 10% in the second month following the sale. No uncollectible accounts are anticipated. 1. Calculate the total cash sales and cash collected (together) budgeted for November. 2. Calculate the budgeted Accounts Receivable balance on November 30. The gross profit (margin) percentage is 30% and the budgeted ending inventory for merchandise is 20% of the next month’s total cost of sales. 3. Calculate the budgeted merchandise inventory on November 30. Gator Industries has the following budget for credit purchases of merchandise: Month Credit Purchases August $30,000 September 31,000 October 29,000 November 32,000 December 28,000 20% of credit purchases are paid in the month of purchase, 60% in the first month after purchase, and 20% in the second month after purchase. 4. Calculate the total cash payments budgeted for November for merchandise purchases....
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This test prep was uploaded on 04/18/2008 for the course ACG 2071 taught by Professor Sumbiznatch during the Spring '06 term at University of Florida.
- Spring '06
- Managerial Accounting