# 15.40 - September selling general and administrative...

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15.40 (30 min) Budgeted purchases and cash flows a. The correct answer is \$225,000. BB + TI TO + EB (130% x 11,900) + TI 11,900 + (130% x 11,400) 15,470 + TI 11,900 + 14,820 TI 11,900 + 14,820 – 15,470 11,250 units 11,250 x \$20 \$225,0 0 0 b. The correct answer is \$243,600. BB + TI TO + EB (130% x 11,400) + TI 11,400 + (130% x 12,000) 14,820 + TI 11,400 + 15,600 TI 11,400 + 15,600 – 14,820 12,180 units 12,180 x \$20 \$243,6 0 0 c. The correct answer is \$333,876. \$363,00 0* \$211,2 6 6 \$363,00 0* 90,7 5 0 \$354,00 0 31,8 6 0 \$333,8 7

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6 *August sales July sales
15.40 (continued) d. The correct answer is \$285,379 September purchases paid in October: \$225,000* x 46% = \$103,500
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Unformatted text preview: September selling general and administrative expenses paid in October: [(\$357,000 x 15%) – \$2,000] x 46% = \$23,713 October purchases paid in October: \$243,600** x 54% = \$131,544 October selling, general and administrative expenses paid in October: [(\$342,000 x 15%) – \$2,000] x 54% = \$26,622 \$103,500 + \$23,713 + \$131,544 + \$26,622 = \$285,379 *From part a. of this problem **From part b. of this problem e. The correct answer is 12,260 BB + TI = TO + EB (130% x 12,000) + TI = 12,000 + (130% x 12,200) TI = 12,000 + 15,860 –15,600 = 12,2 60 units...
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## This note was uploaded on 11/25/2010 for the course ACCT 33010 taught by Professor Staff during the Spring '08 term at Kent State.

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15.40 - September selling general and administrative...

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