Problem #1 Chapter 7

Royal Company is preparing budgets for the quarter ending June 30.

Budgeted sales for the next five months are:

• April 20,000 units
• May 50,000 units
• June 30,000 units
• July 25,000 units
• August 15,000 units.

The selling price is $10 per unit.

need the sales budget.for the Month of April , May, June and sum of the Quarter

Problem #2 Chapter 7

From the last problem use the information that is missing.

• All sales are on account.
• Royal's collection pattern is:
• 70% collected in the month of sale,
• 25% collected in the month following sale,
• 5% is uncollectible.
• The March 31 accounts receivable balance of $30,000 will be collected in full.

need the budgeted cash collection for the Month of April , May, June and sum of the Quarter

Problem #3 Chapter 7

• Royal Company wants ending inventory to be equal to 20% of the following month's budgeted sales in units.
• On March 31, 4,000 units were on hand.

need the Production Budget for the month of April , May , June and the sum of the quarter.