Sales 6,000 Cost of the Direct Material

Add:Ending Inventory 2000 Raw Materials

Less:Beginning Inventory 1200 Add: Ending Inventory
Unit Production 6,800 Less: Beginning Inventory

Raw Materials Needed Multiply by cost

Unit Produced 6,800 Cost of the Direct Material August
Multiply by required squared feet 3
Raw Materials Needed 20,400.00

Beginning Inventory
Unit Produced 6,800
Multiply by required squared feet 3
Multiply by given percentage 10%
Beginning Inventory 2040

Ending Inventory
Sales 10,000
Add: Ending Units 2400
Less: Beginning Units 2,000
10,400
Multiply by required square feet 3
Multiply by given percentage 10%
Ending Inventory 3120
 20400
3120
2040
21480
15
322,200.00
Budgeted Purchases
Budgeted COGS 520000 note:(800000*(1-0.35))
Add:Ending Inventory 140,000
Less: Beginning Inventory 130,000
Budgeted Purchases 530,000
COGS 450000
Add: Ending Inventory 240000
Total Available For Sale 690000
Less: Beginning Inventory 225000
Budgeted Purchases, February 465000
1) Estimated Unit Sales 40,000 3.) Sales Price per Unit
Multiply by Selling Price per Unit 6 Multiply by 10%
Total Sales Revenue 240000 Sales Price per Unit (adjusted)
Multiply by Variable Sales Commission 10%
Total Variable Marketing Expense 24,000.00 Sales (40,000*6.60)
Less: Cost of Goods Sold
2) Total Direct Labor Rate per Hour 15 Gross Profit
Divided by 60 mins for an hour 60 Less:Variable Marketing Expense
Total Direct labor rate per Minute 0.25 Less: Fixed Selling and Admin Expense
Multiply by 6 mins needed 6 Operating Income
Direct Labor per Unit 1.5

Direct Labor per Unit 1.5

Direct material per Unit 1.2
Unit Overhead Cost 1.3
Total Cost per Unit Sold 4
Multiply by 40,000 Units sold 40,000
Total COGS 160,000.00

Sales 240,000
Less: Cost of Goods Sold 160,000
Gross Profit 80,000
Less:Variable Marketing Expense 24,000
Less: Fixed Selling and Admin Expense 25,000
Operating Income 31,000
 6
1.1
6.6

264,000
160,000
104,000
26,400
50,000
27,600
Collection From
January Sales (860,000*0.8*0.75) 516000
December Sales (jan 1 Accounts) 299,000
Collection of Credit Sales 815,000
Cash Sales (860,000*0.2) 172000
Total Cash Received January 987,000
Cash Receipts
Sales 300,000
Collection for June 80%
240000
Less:Sales Discount 2%
Cash Receipts 235,200.00

Cash Disbursement
Purchases 240,000
Less: Purchase Discount 1%
Cash Disbursement 237,600

Beginning Cash 20,000

Add: Cash Collected on June Sales 235200
Cash Collected on May Sales 48,000 283,200
Total 303,200
Less: Cash paid on June Purchases 142560
Cash paid on May's purchases 80000 222560
Ending Cash balance 80,640
Answer
400,000
Cash balance 3,000
Add: Sales From February 21000
Add: Sales From March 32,500
Add: Purchase in the month of February -9,000
Add : Purchase in the month of march -10,000
Add : Selling and Administrative Expense -4,000
Add: Loan and Interest Payment -25,000
Total Cash balance 8,500
1) Payments January Feb
January Purchases
(78,000*97%) 75,660
February Purchases
(66,000*97%)
March Purchases
(81,250*97%)
Expenses 19,000 19,200 note: monthly less 5,000 depreciation
Total Payments 19,000 94,860

Net Change in Cash 76,000 19,140

Beginning Cash 88,000 164,000
Ending Cash 164,000 183,140

February
Budgeted Cash Payment
January Purchases 75,660
(78,000*97%)
Expenses less depreciation 19,200
Budgeted Cash Payment 94,860
 2) January February
Receipts (Collection)
From Beginning A/R 35,000 23,000 Note: 58,000 - 35,000=23,000
January Sales
(120,000*50%) 60,000
(120,000*30%) 36,000
(120,000*19%)
,000 depreciation February Sales
(110,000*50%) 55,000
(110,000*30%)
(110,000*19%)
Total Receipts 95,000 114,000
000 - 35,000=23,000