Gordands purchased $ 600,000 of merchandise in August and expects to purchase $ 720,000 in September. Merchandise purchases are paid as follows: 25% in the month of purchase and 75% in the following month. Compute cash disbursements for merchandise for September.
Answer to relevant QuestionsMeyer Co. forecasts merchandise purchases of $ 15,800 in January, $ 18,600 in February, and $ 20,200 in March; 40% of purchases are paid in the month of purchase and 60% are paid in the following month. At December 31 of the ...Tora Co. plans to produce 1,020 units in July. Each unit requires two hours of direct labor. The direct labor rate is $ 20 per hour. Prepare a direct labor budget for July.Hardy Company’s cost of goods sold is consistently 60% of sales. The company plans to carry ending merchandise inventory for each month equal to 20% of the next month’s budgeted cost of good sold. All merchandise is ...Karim Corp. requires a minimum $8,000 cash balance. If necessary, loans are taken to meet this requirement at a cost of 1% interest per month (paid monthly). Any excess cash is used to repay loans at month- end. The cash ...Rida, Inc., a manufacturer in a seasonal industry, is preparing its direct materials budget for the second quarter. It forecasts sales of 225,000 units in the second quarter and 262,500 units in the third quarter. It also ...
Post your question