Swetres Company has the following sales forecast for the selected three-month period in 2018. April, P120,000; May,
Question:
Swetres Company has the following sales forecast for the selected three-month period in 2018.
April, P120,000;
May, P70,000;
June, P80,000.
70% of sales are collected in the month of sale, and the balance is collected in the following month. Accounts receivable balance in April 1, P100,000. The cash balance on April 1, was P60,000. The minimum cash balance required is P50,000. Cash can be borrowed in multiples of P10,000 from a local bank (disregard the interest charges).
What is the cash balance at the end of April assuming that cash is received only from customers and that P200,000 is the cash out during April?
2. Selected information from the accounting records of Roleg Co. is as follows:
Net accounts receivable on Dec. 31, 2018, P900,000;
Net accounts receivable on Dec. 31, 2019, P1,000,000;
Inventories on Dec. 31, 2018, P1,100,000;
Inventories on Dec. 31, 2019, P1,200,000;
Accounts receivable turnover, 5 times;
inventory turnover, 4 times.
What is Roleg's gross margin for 2019?
3. Tisso Company Consists of two stores, Raminayaga and Ramen. Store Raminayaga has sales of P80,000 during April, a contribution margin ratio of 30%, and a segment margin of P11,000.
The company as a whole had sales of P200,000, a contribution segment margin for the two stores totaling P31,000.
If the net company was P15,000 for the month, what must have been the expenses in Store Ramen?
Cornerstones of Managerial Accounting
ISBN: 978-0176530884
2nd Canadian edition
Authors: Maryanne M. Mowen, Don Hanson, Dan L. Heitger, David McConomy, Jeffrey Pittman