Rooney Company, which expects to start operations on January 1, 2018, will sell
ID: 2531905 • Letter: R
Question
Rooney Company, which expects to start operations on January 1, 2018, will sell digital cameras in shopping malls. Rooney has budgeted sales as indicated in the following table. The company expects a 13 percent increase in sales per month for February and March. The ratio of cash sales to sales on account will remain stable from January through March.
Required
Complete the sales budget by filling in the missing amounts.
Determine the amount of sales revenue Rooney will report on its first quarter pro forma income statement. Complete this question by entering your answers in the tabs below.
Required A
Required B
Complete the sales budget by filling in the missing amounts. (Round intermediate calculations and final answers to 2 decimal places.)
Determine the amount of sales revenue Rooney will report on its first quarter pro forma income statement. (Round intermediate calculations and final answer to 2 decimal places.)
Explanation / Answer
Determine the amount of sales revenue Rooney will report on its first quarter pro forma income statement.
Total sales revenue = 147000+166110+187704.3 = 500814.30
Sales January February March Cash sales $31,000 35030 39583.90 Sales on account 116,000 131080 148120.40 Total budgeted sales 147000 166110 187704.30Related Questions
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