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
Sveta_85 [38]
3 years ago
13

Wallace Company provides the following data for next year: MonthBudgeted Sales January$ 120,000 February 108,000 March 132,000 A

pril 144,000 The gross profit rate is 35 % of sales. Inventory at the end of December is $ 21,600 and target ending inventory level are 20 % of next month's sales, stated at cost. What is the amount of purchases budget for January
Business
1 answer:
Ad libitum [116K]3 years ago
7 0

Answer:

$70440

Explanation:

Given data :

Month             Budgeted sales

January           $120,000

February         $108,000

March              $132,000

April                 $144,000

Gross profit rate = 35% of sales

Inventory at end of December = $21600

Target ending inventory level = 20% of next month sales

<u>Determine the amount of purchases budget for January</u>

First step : calculate

Cost of goods for January = Budgeted sales - Gross profit

= $120,000 - $42,000 =  $78000

Next : determine ending inventory in January

= 20% * ( Budgeted sales in Feb * 65% )

= 20% * ($108000 * 65%) = $14040

Determine budgeted purchase using the Relation below

Cost of goods sold = Beginning inventory + Budgeted purchases - Ending inventory

78,000 = 21600 + Budgeted purchases - 14040

therefore

Budgeted purchases for January = ( 78,000 + 14040 - 21600 )

                                                       = $70440

You might be interested in
Who among the following is a member of a utilitarian organization: a) Angela, who works as a lawyer at a prestigious law firm an
dimaraw [331]

Of the options given, the most likely member of a utilitarian organization is<u> a. </u><u>Angela</u><u>, who works as a </u><u>lawyer </u><u>at a </u><u>prestigious law firm </u><u>and </u><u>earns $60,000 annually.</u>

A utilitarian organization is one where:

  • Employees receive some sort of compensation for their work
  • Employees are usually contracted to a company to provide a certain service

Angela is receiving a compensation of $60,000 annually and is a lawyer which means that they are probably contracted to the law firm.

We can therefore conclude that Angela is working for a utilitarian organization based on the fact that there is compensation and contract.

<em>Find out more at brainly.com/question/13956837. </em>

7 0
2 years ago
During the month of June, Ace Incorporated purchased goods from two suppliers. The sequence of events was as follows: June 3 Pur
Alinara [238K]

Answer and Explanation:

The journal entries are shown below:

On June 3

Merchandise Inventory $4,100

                   To Accounts payable $4,100

(Being the purchase of goods on credit is recorded)  

On Jun 5

Accounts payable $1,100  

         To Merchandise   Inventory  $1,100

(To record purchase returns)  

On June 6

Merchandise Inventory $1,000

     Accounts payable  $1,000

(Being the purchase of goods on credit is recorded)  

On June 11

Accounts payable ($4,100 - $1,100) $3,000

               To Cash  $2,960

               To  Inventory ($4,100 - $1,100) × 2%  $60

(Being the payment is recorded)  

On June 22

Accounts Payable $2,000     ($3,000 - $1,000)

    To Cash  $2,000

(Being the payment on account in full is paid)

4 0
3 years ago
How many inches are there in a football field (100 yards)? 1 yard = 3 feet; 1 foot = 12 inches
crimeas [40]

4320 .  this prob would have been answered faster under the mathmatics topic


8 0
3 years ago
Diana owns a bakery where she sells cupcakes. Two blocks down there is another bakery, CC's Bakery, that sells cupcakes for $1 l
elena-14-01-66 [18.8K]

Answer:

competitor-oriented pricing

Explanation:

competitor-oriented pricing is a technique for valuing in which a producer's value is resolved more by the cost of a comparable item sold by an incredible contender than by contemplation of purchaser request and cost of generation; likewise alluded to as Competition-Based Pricing.  

For instance: a firm needs to value another espresso producer. The company's rivals sell it at $25, and the organization thinks about that the best cost for the new espresso producer is $25. It chooses to set this very cost without anyone else item.

3 0
3 years ago
Use the following items to determine the toata assets ,total liabilities , net worth , total cash inflows and total cash outflow
kicyunya [14]

Answer:

Determining the total assets, total liabilities, net worth, total cash inflows, and total cash outflows:

1. Total assets

Cash in checking account         $ 450

Savings account balance        $ 1,890  

Current value of automobile  $8,800  

Household possessions           3,400

Video equipment                  $ 2,350

Personal computer               $ 1,200

Value of stock investment        860

Total assets                         $18,950

2. Total liabilities

Rent for the month              $ 650

Balance of educational loan 2,160

Credit card balance             $ 235

Total liabilities                  $3,045

3. Net worth

Total assets                      $18,950

Total liabilities                   ($3,045)

Net worth                        $15,905

4. Total cash inflows

Monthly take-home salary $ 2,185

5. Total cash outflows

Spending for food                  $ 345

Telephone bill paid for month    65

Loan payment                             80

Auto insurance                     $ 230  

Payment for electricity               90

Lunches/parking at work     $ 180

Donations                                160  

Clothing purchase               $ 110

Restaurant spending             130

Total cash outflows         $1,390

Explanation:

a) Data and Calculations:

Rent for the month $ 650

Monthly take-home salary$ 2,185

Spending for food $ 345

Cash in checking account$ 450

Savings account balance $ 1,890

Balance of educational loan 2,160

Current value of automobile $8,800

Telephone bill paid for month 65

Credit card balance $ 235

Loan payment 80

Auto insurance $ 230

Household possessions 3,400

Video equipment $ 2,350

Payment for electricity 90

Lunches/parking at work $ 180

Donations 160

Personal computer $ 1,200

Value of stock investment 860

Clothing purchase $ 110

Restaurant spending 130

3 0
2 years ago
Other questions:
  • Television producers hope to "minimize the risk" that a tv show _____. will offend the public will be a copy of something that's
    10·1 answer
  • Which term is used to describe software used by cybercriminals?
    11·1 answer
  • The Finishing Department had 11,500 incomplete units in its beginning Work-in-Process Inventory which were 100% complete as to m
    12·1 answer
  • A cognitive psychologist believes that people learn better when they spread out their studying over several days, so she creates
    9·1 answer
  • You are considering a project with an initial cost of $4,300. What is the payback period for this project if the cash inflows ar
    6·1 answer
  • This was not a "true" operating system, but rather an operating environment.
    11·1 answer
  • The manager of a major retail store has taken a random sample of 25 customers. The average sale was $52.50. The population stand
    14·1 answer
  • If interest rates are at the zero lower bound:A. the effectiveness of monetary policy increases. B. monetary policy is not very
    5·1 answer
  • Why do central banks play an important role in the global economy?
    14·1 answer
  • Ok, I actually need a lot of help- 30 points to whoever can
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!