FNSACC412_TL_SW_Appx_Activity 3 Purchase Budget

OFFICIAL #_x000D_ _x000D_ # OFFICIAL Question 3 – Mark-up on Cost and Margins on Sales $40.00 60/1.50 $48.00 76.80/1.60 $42.00 30*1.40 250% (((10-4)/4)*100)+100% $83,076.92 108000/130% 1.           An item selling for $60 has been marked up at 50% on cost. What is the cost price? 2.           An item selling for $76.80 has been marked up at 60% on cost. What is the cost price? 3.           An item costs $30 and a mark-up of 40% is required. What is the selling price? 4.           A box of chocolates cost $4 and sells for $10. What is the margin on sales? 5.           Sales are $108,000. The margin on sales is 30%. What is the cost of sales?

OFFICIAL #_x000D_ _x000D_ # OFFICIAL Question 5 - Purchases Budget for Multiple Products (With Mark-up on Cost) The Candle Shop is a retailer of scented candle.Presently stocking 3 different fragrances. Candle Sales Quantity Price each Total Sales Vanilla 9,000 $12.00 $108,000.00 Cinnamon 8,000 $10.00 $80,000.00 Coconut 6,000 $10.00 $60,000.00 It is anticipated that for the next quarter the sales quantities for all candles will increase by 5%. Price for Vanilla scented candles will stay the same but for Cinnamon and Coconut scented candles the price per candle will increase by 10%. Candle Type Sales Volume Total Sales $ Vanilla 9450 $12.00 $113,400.00 Cinnamon 8400 $11.00 $92,400.00 Coconut 6300 $11.00 $69,300.00 The Candle Shop has a mark-up on cost of 80%. Closing inventory is equal to 20% of current quarter’s sales requirements. December Vanilla Cinnamon Coconut Total Sales (units) 9450 8400 6300 24150 add closing stock 1890 1680 1260 4830 Total requirements 11340 10080 7560 28980 less opening stock 1800 1600 1200 4600 To be Purchased 9540 8480 6360 24380 Cost Price per candle $6.67 $6.11 $6.11 Purchases $ $63,600.00 $51,822.22 $38,866.67 $154,288.89 The sales figures for the last quarter ended 30 th September were as follows; 1.      Required: Prepare the sales budget for the qrter ended 31 st December Sales Budget for the quarter ending 31 st December Sales price $ per candle 2.      Required: Prepare the purchases budget for the coming qtr ended 31 st Purchases Budget for the quarter ending 31 st December

OFFICIAL _x000D_ OFFICIAL Question 7 - Cost of Goods Sold Budget “Chop-IT” sells sandwich boards to the local food halls. Estimated sales for the sandwich boards are as follows April 1000 May 1200 June 1400 July 1600 requirements. The current buy price from supplier for the next three months is estimated at $40.00 and selling price is always marked up by 50% on cost price. Sales Budget April May June Quarter Sales (units) 1,000 1,200 1,400 3,600 Selling Price $60.00 $60.00 $60.00 Total Sales $60,000.00 $72,000.00 $84,000.00 $216,000.00 Purchases Budget in units and in $ April May June Quarter Sales (units) 1,000 1,200 1,400 3,600 Add Closing Stock 480 560 640 640 Total requirements 1,480 1,760 2,040 5,280 Less Opening Stock 400 480 560 400 Purchases (units) 1,080 1,280 1,480 3,840 Cost price $40.00 $40.00 $40.00 Total Purchases $ $43,200.00 $51,200.00 $59,200.00 $153,600.00 April May June Quarter Opening stock 400 480 560 400 Purchases 1,080 1,280 1,480 3,840 Goods available 1,480 1,760 2,040 5,280 Less: Closing Inventory 480 560 640 640 Cost of Goods Sold 1,000 1,200 1,400 3,600 Cost of Goods Sold April May June Quarter Sales (units) 1,000 1,200 1,400 3,600 Cost Price $40.00 $40.00 $40.00 Total Cost of Goods Sold $40,000.00 $48,000.00 $56,000.00 $144,000.00 Inventory policy is to carry enough closing stock to equal to 40% of next month’s sales Prepare the following budgets for the three months ending 30 th June 2022: a)     Sales Budget for the quarter b)     Purchases budget (in units and in $) c)      Cost of Goods Sold Budget for the quarter Cost of Goods Sold Budget for the quarter ending 30 th June