Shadee Corp. expects to sell 530 sun visors in May and 380 in June. Each visor s

Question

Shadee Corp. expects to sell 530 sun visors in May and 380 in June. Each visor sells for $18. Shadee’s beginning and ending finished goods inventories for May are 70 and 50 units, respectively. Ending finished goods inventory for June will be 70 units.

It expects the following unit sales for the third quarter:      

Sixty percent of Shadee’s sales are cash. Of the credit sales, 52 percent is collected in the month of the sale, 37 percent is collected during the following month, and 11 percent is never collected.

Required:

Calculate Shadee’s total cash receipts for August and September. (Do not round your intermediate calculations. Round your answers to the nearest whole dollar.)

The following information is available for Pioneer Company:

Required:

Determine Pioneer's budgeted selling and administrative expenses for November and December.

Ceder Company has compiled the following data for the upcoming year:

Required:
1. Determine Ceder's budgeted cost of goods sold. (Do not round the intermediate values.)



2. Complete Ceder's budgeted income statement. (Do not round the intermediate values.)

Walter Company has the following information for the month of March:

Walter pays all expenses in the month incurred. Manufacturing overhead includes $1,350 for machinery depreciation, but the amount for selling and administrative expenses is exclusive of depreciation. Additionally, Walter also expects to buy a piece of property for $7,300 during March. Walter can borrow in increments of $1,000 and would like to maintain a minimum cash balance of $10,000.
   
Required:
Prepare Walter’s cash budget for the month of March.

Shamrock Shades operates in mall kiosks throughout the southwestern U.S. Shamrock purchases sunglasses from bulk discounters and sells the sunglasses in the mall kiosks. Shamrock is in the process of budgeting for the coming year and has projected sales of $310,000 for January, $390,000 for February, $550,000 for March, and $590,000 for April. Shamrock’s desired ending inventory is 30 percent of the following month’s cost of goods sold. Cost of goods sold is expected to be 20 percent of sales.    

Required:
Compute the required purchases for each month of the first quarter (January–March).

Explanation / Answer

1 Shadee Corp: Cash Collections Schedule: Aug Sep Jul Aug Sep Total Sales 8820 7740 Sales Units 530 490 430 Sales Value 9540 8820 7740 Cash Sales(60%) 5292 4644 (Units*18) Collection of Credit Sales: Cash Sales(60%) 5724 5292 4644 June Sales-Credit Sales*37% 1412 0 Credit Sales(40%) 3816 3528 3096 August Sales 1835 1305 (3528*52%)/(3528*37%) Sep Sales 0 1610 (3096*52%) Total 8538 7559 2 Pioneer's: Sales Nov Dec Sales Units 2920 3560 Sales Value 292000 356000 (Units*100) Budgeted S&A Expense: Nov Dec Variable Costs: Commission(6% of Sales) 17520 21360 Advertising(2% of Sales) 5840 7120 Shipping(2% of Sales) 5840 7120 Total Variable Expense 29200 35600 Fixed Costs: Sales Salaries 4200 4200 Office Salaries 2900 2900 Depreciation 2300 2300 Building Rent 3700 3700 Insurance 1700 1700 Utilities 900 900 Total Fixed Costs: 15700 15700 Total 44900 51300 Note: You have asked 5 Questions in a single problem. Only first 2 have been answerd in this

Related Questions

Navigate

• Browse (All)
• Browse S
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.