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Genrish500 [490]
3 years ago
13

Walker Company prepares monthly budgets. The current budget plans for a September ending inventory of 30,000 units. Company poli

cy is to end each month with merchandise inventory equal to a specified percent of budgeted sales for the following month. Budgeted sales and merchandise purchases for the next three months follow.
Sales (Units) Purchases (Units)
July 180,000 200,250
August 315,000 308,250
September 270,000 259,500
(1) Prepare the merchandise purchases budget for the months of July, August, and September.
Business
1 answer:
densk [106]3 years ago
5 0

Answer:

Merchandise purchases budget explanations only.

Explanation:

Hi, your question has missing information, however i have supplied explanations below.

A purchases budget is required to determine the quantities of purchases required for :

  1. Resale - For Merchandisers
  2. Use in Production in case of Manufacturer

Here is the structure of the merchandise purchases budget for Walker Company (Merchandiser).

<u>Merchandise purchases budget </u>

                                                                       Month

Budgeted Sales                                                  x

Add Budgeted Inventory                                   x

Total Purchases needed                                    x

Less Budgeted Opening Inventory                  (x)

Budgeted Purchases                                          x

As stated by the question : <em>Company policy is to end each month with merchandise inventory equal to a specified percent of budgeted sales for the following month.</em>

<em>Ending Inventory = Next months` sales x required percentage</em>

Ending Inventory for one month say July becomes Opening Inventory for the following month (August) for our merchandise purchases budget.

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5 0
2 years ago
Under a flexible-price monetary approach to the exchange rate Group of answer choices when the domestic money supply falls, the
Anastaziya [24]

Answer:

when the domestic money supply falls, the price level would eventually fall, keeping the interest rate constant.

Explanation:

Price can be defined as the amount of money that is required to be paid by a buyer (customer) to a seller (producer) in order to acquire goods and services.

In sales and marketing, pricing of products is considered to be an essential element of a business firm's marketing mix because place, promotion and product largely depends on it.

The flexible-price monetary model was developed by Frenkel and Mussa in 1976 and it states that the prices of goods are flexible while the purchasing power parity (PPP) is always constant.

Under a flexible-price monetary approach to the exchange rate when the domestic money supply falls, the price level would eventually fall, keeping the interest rate constant.

6 0
3 years ago
Dan and Emily have decided to start a new home inspection business. They have both worked in this industry as sole proprietors,
daser333 [38]

Answer: Partnership

   

Explanation: In simple words, partnership refers to an agreement between two or more independent parties to join their forces for achieving a common business goal with the ultimate objective of earning profit.

In the given case,  Dan and Emily were sole proprietors and now they are joining their forces also the case states their new entity will not be a separate entity and both of the owners will be having unlimited debt.

Hence from the above we can conclude that this is a partnership business.

3 0
3 years ago
Which of the following is the primary cost object in most healthcare firmst?
Nezavi [6.7K]

This is the primary cost object:

A.) Specific DRG

Explanation:

The firms that handle healthcare are focused on the specific DRG required by the person and not necessarily the number of time healthcare was needed or how many repeated episodes it will involve.

This is because they are concerned with the cost.

There is a world's difference between the regular cost of a regular checkup and a serious ailment but booth are factored in pretty much the same by the healthcare system.

5 0
3 years ago
Knowledge Check 01 On January 1, Greenview Company adopted the dollar-value LIFO method. The inventory cost on January 1 was $11
Kamila [148]

Answer:

Inventory to be reported is  125200

Explanation:

Adjust inventory to base year prices  

$136400/1.1=  124000

CURRENT YEAR LIFO LAYER  

$124000-$112000=  12000

Add the new lifo layer at end of period prices  

to prior year lifo inventory  

112000*1= 112000  

12000*1.1= 13200  

inventory to be shown 125200

4 0
3 years ago
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