Belinger and Betts LLP is a merchandising company based in Los Angeles, California that prepared the...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Belinger and Betts LLP is a merchandising company based in Los Angeles, California that prepared the following: September October November December Budgeted Sales $120,000 $175.000 $210,000 $145.000 Fifteen percent of the company's sales are for cash and 85% are on account. Collections for sales on account follow a pattern as follows: 60% of a month's credit sales are collected in the month of sale, 25% are collected in the month following sale, and 10% are collected in the second month following sale. Bellinger and Betts LLP deems the remainder to be uncollectible. • Cost of goods sold is 80% of sales and ending inventory is maintained at $45,000 plus 12% of the foilowing month's cost of goods sold. Sixty percent of purchases are paid for in cash at the time of purchase, and 20% are paid for in each of the next two months. Purchases for the previous September and October were $170,000 per monith. • Interest payments of $18.000 are paid quarterly in October and January. What are the cash collections budgeted for December? $155.200 $133.450 $165,700 $143.950 Belinger and Betts LLP is a merchandising company based in Los Angeles, California that prepared the following: September October November December Budgeted Sales $120,000 $175.000 $210,000 $145.000 Fifteen percent of the company's sales are for cash and 85% are on account. Collections for sales on account follow a pattern as follows: 60% of a month's credit sales are collected in the month of sale, 25% are collected in the month following sale, and 10% are collected in the second month following sale. Bellinger and Betts LLP deems the remainder to be uncollectible. • Cost of goods sold is 80% of sales and ending inventory is maintained at $45,000 plus 12% of the foilowing month's cost of goods sold. Sixty percent of purchases are paid for in cash at the time of purchase, and 20% are paid for in each of the next two months. Purchases for the previous September and October were $170,000 per monith. • Interest payments of $18.000 are paid quarterly in October and January. What are the cash collections budgeted for December? $155.200 $133.450 $165,700 $143.950
Expert Answer:
Answer rating: 100% (QA)
Answer 155200 Calculatlon Particulars Cash sales 145000 x 15 21750 ... View the full answer
Related Book For
Managerial Accounting
ISBN: 978-1259024900
9th canadian edition
Authors: Ray Garrison, Theresa Libby, Alan Webb
Posted Date:
Students also viewed these accounting questions
-
Janus Products, Inc., is a merchandising company that sells binders, paper, and other school supplies. The company is planning its cash needs for the third quarter. In the past, Janus Products has...
-
Scott Products Inc. is a merchandising company that sells binders, paper, and other school supplies. The company is planning its cash needs for the third quarter. In the past, Scott Products has had...
-
Skate World is a merchandising company that sells skateboards both at its retail s tore and its online store. Results for the most recent three months are shown below. Required 1. Identify each of...
-
Turtle Creek Partnership had the following revenues, expenses, gains, losses, and distributions Sales revenue Long-term capital gains Cost of goods sold Depreciation-MACRS $ 59,000 $ 3,300) $...
-
What penalties can be imposed by the AICPA and the state societies on CPAs in their self- regulation of ethics code violators?
-
In Exercises use the position function s(t)= -16t + v o t + s o for free-falling objects. To estimate the height of a building, a weight is dropped from the top of the building into a pool at ground...
-
Consider a Stirling cycle from Example 8.10 with imperfect regenerator \(\left(T_{R}=230^{\circ} \mathrm{C} ight)\). Assume ideal gas. a. Compute the efficiency from \[ \eta=\frac{\text { Work...
-
Clark received $175,000 from her mothers estate. She placed the funds into the hands of a broker, who purchased the following securities on Lindas behalf: (a) Common stock was purchased at a cost of...
-
Discuss how your approach to leading a domestic multicultural team or international team is shaped based on the theories you have learned in this unit. Your essay must be a minimum of two pages in...
-
Ms. Mist is employed as an internal auditor by Universal Imports Limited (UIL), a Canadian-controlled private corporation. To drive to UILs locations, as required in her employment, UIL provides her...
-
Situation: In a particular city in the United States, a professor conducted a study to determine what will be the demand for a certain brand of candy given the price. He was able to obtain to the...
-
Qatar University has approached you as a systems analyst to assess the current courses registration system and you may either develop a new system or recommend improvements for the current system. As...
-
The cart shown in figure below moves with constant deceleration changing the speed from v0 = 5 m/s to v1 = 1 m/s. After 2 seconds when it reaches the speed v1 it suddenly stops. Write the...
-
. . 1. Why is the acceleration of uniform circular motion directed toward the centre of a circle? 2. Using circular motion to approximate elliptical orbits, how can you describe the motion of...
-
(i) A storage vessel contains a medium with a specific gravity of 0.95. Calculate the height in metres of the medium if the pressure exerted on the base of the vessel is 22.25 kPa. (ii) A temperature...
-
penny A penny, m-2.50 g, is on the edge of a rotating disk that has a radius of 0.12 m. The the disk and lands 0.22 m away from the disk. The disk is 0.55 m above the floor. Determine the "flies" off...
-
Basic Types with Java Coding Files 5 index.html JS main.js main.js x 1 /* + 2 Basic Types activity 3 3 style.css 4 5 6 - Create 3 variables and set them up to the given instructions. Also, type check...
-
Outline a general process applicable to most control situations. Using this, explain how you would develop a system to control home delivery staff at a local pizza shop.
-
Willert Excavating Services has invested in certain equipment that cost the company $247,760. The equipment is expected to generate cash inflows of $40,000 each year. Required: How many years will...
-
Fill in the missing amounts in each of the eight case situations below. Each case is independent of the others. a. Assume that only one product is being sold in each of the following four case...
-
Refer to the data in Exercise 85 for Waterloo Storage Products. Assume in this exercise that the company uses absorption costing. In exercise: Nits in beginning inventory. . . . . . . . . . . . . . ....
-
A stirrer-container assembly contains a certain amount of fluid. The stirrer performs \(3 \mathrm{hp}\) work on the system. The heat developed by stirring is \(4000 \mathrm{~kJ} / \mathrm{h}\) and is...
-
A system consisting of a gas confined in a cylinder undergoes a series of processes shown in Fig. 2.11. During the process A-1-B, \(70 \mathrm{~kJ}\) of heat is added while it does 45 \(\mathrm{kJ}\)...
-
Derive the mathematical expression of the first law of thermodynamics.
Study smarter with the SolutionInn App