Answer:
<u>18,750 units</u>
Explanation:
A firm has the following forecast information for sales of Product X:
April 15,000 units
May 17,000 units
June 19,000 units
July 18,000 units Product X sells for $3 per unit.
Half of the firm's sales are for cash and the other half is on account.
Credit sales are collected in the following pattern: 60% in the month of sale, 30% in the month following sale, and 5% in the second month following sale (the remainder are uncollectible).
If the firm targets its ending inventories to be 25% of the following month's sales, what are the budgeted purchases (in units) for June
.
Purchases Budget = Required production for sales - opening inventory of raw materials + closing inventory of raw materials = Raw materials required
June's Production Budget
Required production for sales = .............................................19,000 units
less: Beginning inventory (25% of June's sales) =............... 4,750 units
Add: Required Ending Inventory (25% of July's sales) = ...<u>4,500 units</u>
Raw materials required for purchase in June =.................. <u>18,750 units</u>
Answer:
PV= $50,981.17
Explanation:
<u>First, we need to calculate the future value at the end of the period:</u>
FV= {A*[(1+i)^n-1]}/i
A= annual payment
FV= {7,500*[(1.071^19) - 1]} / 0.071
FV= $283,234.78
<u>Now, the present value:</u>
PV= FV/(1+i)^n
in this case n=25 years
PV= 283,234.78 / (1.071^25)
PV= $50,981.17
Answer:
Many observer says it does
Explanation:
This is because certain or few group of owners would dominate the industry and also won it, they would control how new owners enter into the game
Answer:
Explanation:
Provide music lessons to students for 10,500 cash.
Dr Cash 10,500
Cr Sales 10,500
Being cash sales made
Purchase prepaid insurance to protect musical equipment over the next year for $4,000 cash.
Dr Prepaid Insurance account 4,000
Cr Cash 4,000
Being payment for the prepaid insurance
Purchase musical equipment for $17,000 cash.
Dr Equipment (asset) account 17,000
CR Cash 17,000
Being purchase of equipment
Obtain a loan from a bank by signing a note for $39,000.
Dr Cash 39,000
Cr Loan note (liability) 39,000
The officer responsible for managing the firm's cash flows is the <span>treasurer</span>.
