250_Notes_8A

250_Notes_8A - 220 Salaries 10,000 Depreciation 5,000...

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ACCT 250 HOMEWORK CHAPTER 8A EXAMPLES ce817950218246da4913e85cdb9d19d81764cd54.xls PAGE 1 OF 2 BE8-21 Q207 Q307 Q208 Q308 Sales in units 16,000 15,000 20,000 18,750 Selling price 4 4 Gross sales revenue 80,000 75,000 Sales growth expected 25% BE8-24 Q1 Q2 Q3 Sales 13,000 12,000 15,000 Add: Ending innventory 1,200 1,500 Total units needed 14,200 13,500 Less: Beginning inventory 1,200 Production 12,300 BE8-29 Dec Total RM needed for production 150,000 Plus: Ending inventory 39,500 Total RM needed for production 189,500 Less: Beginning inventory 37,000 RM purchases 152,500 BE8-22 Jan Feb Mar Inventory purchases 5,500 6,500 8,000 Cash payments for current month purchases (25%) 1,625 2,000 Cash payments for prior month purchases (75%) 4,125 4,875 Total cash payments for purchases 5,750 6,875 BE8-22 Q3 Q4 Sales units 4,000 4,400 Sales growth rate 10% Variable marketing expense
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Unformatted text preview: 220 Salaries 10,000 Depreciation 5,000 Insurance 2,000 Total marketing expense 17,220 Less: Depreciation 5,000 Total cash payments for marketing 12,220 ACCT 250 HOMEWORK CHAPTER 8A EXAMPLES ce817950218246da4913e85cdb9d19d81764cd54.xls PAGE 2 OF 2 BE8-27 Nov Dec Sales 90,000 100,000 Cash collected in month of sale (75% * 98%) 66,150 73,500 Cash collected in month following sale (20%) 18,000 Total cash receipts 91,500 BE8-28 Apr May Beginning cash balance 30,870 Excess of cash collected over cash payments 22,000 Ending cash balance before financing 18,000 52,870 Bank borrowing, beginning of month 13,000 Payments Repayments, end of month (13,000) Interest, end of month (1% per month) (130) (130) Ending cash balance 30,870 39,740 Loan balance for interest calculation 13,000 13,000 Loan balance for balance sheet 13,000 -...
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This note was uploaded on 04/18/2008 for the course ACCTG 250 taught by Professor Rabe during the Spring '08 term at Luther.

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250_Notes_8A - 220 Salaries 10,000 Depreciation 5,000...

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