1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
yanalaym [24]
3 years ago
7

Bramble Corporation is a small wholesaler of gourmet food products. Data regarding the store's operations follow: Sales are budg

eted at $320,000 for November, $300,000 for December, and $290,000 for January. Collections are expected to be 55% in the month of sale and 45% in the month following the sale. The cost of goods sold is 70% of sales. The company would like to maintain ending merchandise inventories equal to 70% of the next month's cost of goods sold. Payment for merchandise is made in the month following the purchase. Other monthly expenses to be paid in cash are $23,800. Monthly depreciation is $14,800. Ignore taxes. Balance Sheet October 31 Assets Cash $ 21,400 Accounts receivable 71,400 Merchandise inventory 156,800 Property, plant and equipment, net of $573,400 accumulated depreciation 1,095,400 Total assets $ 1,345,000 Liabilities and Stockholders' Equity Accounts payable $ 255,400 Common stock 821,400 Retained earnings 268,200 Total liabilities and stockholders' equity $ 1,345,000 The difference between cash receipts and cash disbursements for December would be:
Business
1 answer:
Sati [7]3 years ago
8 0

Answer:

Bramble Corporation

The difference between cash receipts and cash disbursements for December would be:

=  $71,000

Explanation:

a) Data and Calculations:

Balance Sheet October 31

Assets Cash                            $ 21,400

Accounts receivable                  71,400

Merchandise inventory           156,800

Property, plant and equipment,

net of $573,400 accumulated

depreciation                        1,095,400

Total assets                      $ 1,345,000

Liabilities and Stockholders' Equity

Accounts payable              $ 255,400

Common stock                      821,400

Retained earnings                268,200

Total liabilities and

stockholders' equity      $ 1,345,000

                                     November       December      January

Budgeted sales            $320,000        $300,000   $290,000

Cash Collections:

55% month of sale         176,000            165,000      159,500

45% following month       71,400             144,000      135,000

Total collections          $247,400         $309,000   $294,500

Cost of goods sold     $224,000         $210,000    $203,000

=  (70% of Sales for the month)

Ending Inventory            147,000            142,100

Goods available           $371,000        $352,000

Beginning Inventory      156,800            147,000       142,100

Purchases                    $214,200        $205,000

Cash disbursements:

Payment to suppliers   255,400           214,200      205,000

Other monthly exp.        23,800             23,800

Total disbursements $279,200         $238,000

Comparison of Cash receipts with Cash disbursements:

                                   November       December

Cash receipts             $247,400         $309,000

Cash disbursements $279,200         $238,000

Difference                    ($31,800)           $71,000

You might be interested in
During 2018, its first year of operations, Pave Construction provides services on account of $154,000. By the end of 2018, cash
seraphim [82]

Answer:

Bad debts expenses                                        Debit                $ 11,750

Allowance for uncollectible receivables        Credit                                $ 11,750

Explanation:

The allowance for uncollectible accounts receivables balances are calculated as a percentage of the receivable balance.

The receivable balances as at December 31, 2018 is

Services provided on account                          $  154,000

Cash collections received                                 <u>$  107,000</u>

Receivables from services uncollected           <u>$    47,000</u>

Estimated percentage considered uncollectible     25 %

Allowance for uncollectible accounts   $ 47,000 * 25 % = $ 11,750

6 0
2 years ago
A popular television program called the swan aimed to turn less visually appealing people into more socially acceptable ones by
Sati [7]
<span>This is an example of, "medicalization and the social construction of health and illness".

</span><span>Medicalization is examined from a sociologic point of view regarding the part and energy of experts, patients, and enterprises, and furthermore for its suggestions for ordinary individuals whose self-character and life choices may rely upon the overall ideas of health and illness.
</span>
3 0
3 years ago
What is a project managers biggest responsibility
Y_Kistochka [10]
<span>The project manager's role in a nutshell, is the overall responsibility for the successful planning, execution, monitoring, control and closure of a project.</span>
6 0
3 years ago
Read 2 more answers
Teresa has just opened a NOW account that pays 3.50​% interest. If she maintains the account at the required minimum balance of
nataly862011 [7]

Answer:

She will earn $17.50.

Explanation:

Interest earned is the amount of interest earned on the a deposited amount in a saving amount on simple interest.

Balance in the account = $500

Interest rate = 3.5%

Interest earned = Average balance  x Interest rate

Interest earned  = $500 x 3.50%

Interest earned  = $500 x 0.035

Interest earned  = $17.50

5 0
2 years ago
Which would you rather be owning if there is a decline in market interest rates: long-term bonds or short-term bonds? why?
Thepotemich [5.8K]

Long-term bonds are preferable to hold if interest rates decrease because their price will rise more than the price of short-term bonds, providing a bigger return. Long-term bonds, however, are more susceptible to interest-rate risk. In addition, the longevity of the bonds, not only their term to maturity, is a major factor.

<h3>What are short-term bonds?</h3>

Short-term bonds may offer consistent income with comparatively little risk. When compared to money markets, higher profits can be obtained. Even some bonds are tax-free.

The potential yield of a short-term bond is higher than that of money market investments. Bonds having shorter maturities are often more resistant to changes in interest rates than other types of assets. Purchasing a bond and keeping it until it matures entitles you to the stated principle and interest rates.

To know more about bonds, visit

brainly.com/question/22939161

#SPJ4

3 0
1 year ago
Other questions:
  • During the year, a firm purchased $256,900 of merchandise and paid freight charges of $36,870. If the total purchases returns an
    13·1 answer
  • Managers who establish effective goals can enhance the performance of their employees and of their company. The manager in the s
    15·1 answer
  • PrimeFlix sells one-year online subscriptions for viewing classic movies. Customers are required to pay for the subscription at
    7·1 answer
  • Creating a budget is about your wishes and hopes for what you want your income to be.
    9·1 answer
  • Ano ang pagkakaiba ng asarol sa pala
    13·1 answer
  • Using the mini case information, write a 250-300-words report presenting potential ethical issues that may arise from expanding
    8·1 answer
  • Lang Co. issued bonds with detachable common stock warrants. Only the warrants had a known market value. The sum of the fair val
    14·1 answer
  • If you need points here ya go
    5·2 answers
  • Huron has provided the following year-end balances:Cash, $30,000Patents, $8,800Accounts receivable, $9,800Property, plant, and e
    14·1 answer
  • Who gains from inflation? multiple choice 3 those with the most skill. no one benefits from inflation. borrowers lenders
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!