The controller is waiting on Wildhorse's budgeted cash disbursements so the cash budget can be wrapped up for next month, but Widhorse has just received the DM purchases budget from production. That budget shows DM purchases of 577,600 in March and $\$ 80, 500 $ in April. Wildhorse generally pays $30 % $ of these purchases in the month of purchase, with the remainder paid the next inonth Hew much shoald Wildhorse budget for cash disburseinents for the month of April? What is the budgeted balance of AVP going into May? Total cashdisbursements A/P bolance at end of April

The controller is waiting on Wildhorse's budgeted cash disbursements so the cash budget can be wrapped up for next month, but Widhorse has just received the DM purchases budget from production. That budget shows DM purchases of 577,600 in March and $\$ 80, 500 $ in April. Wildhorse generally pays $30 % $ of these purchases in the month of purchase, with the remainder paid the next inonth Hew much shoald Wildhorse budget for cash disburseinents for the month of April? What is the budgeted balance of AVP going into May? Total cashdisbursements A/P bolance at end of April

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter9: Profit Planning And Flexible Budgets

Section: Chapter Questions

Problem 45BEB: Pilsner Inc. purchases raw materials on account for use in production. The direct materials...

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The sales department of Macro Manufacturing Co. has forecast sales for its single product to be 20,000 units for June, with three-quarters of the sales expected in the East region and one-fourth in the West region. The budgeted selling price is 25 per unit. The desired ending inventory on June 30 is 2,000 units, and the expected beginning inventory on June 1 is 3,000 units. Prepare the following: a. A sales budget for June. b. A production budget for June.
Pilsner Inc. purchases raw materials on account for use in production. The direct materials purchases budget shows the following expected purchases on account: Pilsner typically pays 25% on account in the month of billing and 75% the next month. Required: 1. How much cash is required for payments on account in May? 2. How much cash is expected for payments on account in June?
The following data were obtained from the financial records of Sonicbrush, Inc., for March: Sales are expected to increase each month by 15%. Prepare a budgeted income statement.
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One Device makes universal remote controls and expects to sell 500 units in January, 800 in February, 450 in March, 550 in April, and 600 in May. The required ending inventory is 20% of the next months sales. Prepare a production budget for the first four months of the year.
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Lens Junction sells lenses for $45 each and is estimating sales of 15,000 units in January and 18,000 in February. Each lens consists of 2 pounds of silicon costing $2.50 per pound, 3 oz of solution costing $3 per ounce, and 30 minutes of direct labor at a labor rate of $18 per hour. Desired inventory levels are: Â Prepare a sales budget, production budget. direct materials budget for silicon and solution, and a direct labor budget.
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Bonita Industries expects to purchase $190000 of materials in July and $220000 of materials in August. Three-fourths of all purchases are paid for in the month of purchase, and the other one-fourth are paid for in the month following the month of purchase. What are budgeted cash disbursements for materials purchases in August?
Polk Retailers is developing cash and other budget information for July, August, and September. At June 30, Polk had cash of $7,500, accounts receivable of $538,000, inventories of $367,120, and accounts payable of $132,450. The budget is to be based on the following assumptions: Sales Each month’s sales are billed on the last day of the month. Customers are allowed a 2% discount if payment is made within 10 days after the billing date. Receivables are booked gross. 60% of the billings are collected within the discount period, 20% are collected by the end of the month, 16% are collected by the end of the second month, and 4% prove uncollectible. Purchases 55% of all purchases of materials and selling, general, and administrative expenses are paid in the month purchased and the remainder in the following month. Each month’s ending inventory in units is equal to 115% of the next month’s units of sales. The cost of each unit of inventory is $26. Selling, general, and administrative…