A corporation is a wholesaler of industrial goods. Data regarding the store's operations follow:• Sales are budgeted at $310,000 for November, $320,000 for December, and $300,000 for January.Collections are expected to be 45% in the month of sale and 55% in the month following the sale.• The cost of goods sold is 60% of sales.The company desires an ending merchandise inventory equal to 25% of the cost of goods sold in the following month. Paymentfor merchandise is made in the month following the purchase.The November beginning balance in the accounts receivable account is $66,000.• The November beginning balance in the accounts payable account is $253,000.Required:a. Prepare a Schedule of Expected Cash Collections for November and December.b. Prepare a Merchandise Purchases Budget for November and December.Complete this question by entering your answers in the tabs below.Required ARequired BPrepare a Schedule of Expected Cash Collections for November and December.NovemberDecemberSchedule of Expected Cash CollectionsAccounts receivableNovember salesDecember salesTotal cash collectionsRequired B > corporation is a wholesaler of industrial goods. Data regarding the store's opera• Sales are budgeted at $310,000 for November, $320,000 for December, andCollections are expected to be 45% in the month of sale and 55% in the mon• The cost of goods sold is 60% of sales.• The company desires an ending merchandise inventory equal to 25% of the dfor merchandise is made in the month following the purchase.The November beginning balance in the accounts receivable account is $66,0• The November beginning balance in the accounts payable account is $253,0CRequired:a. Prepare a Schedule of Expected Cash Collections for November and December.b. Prepare a Merchandise Purchases Budget for November and December.Complete this question by entering your answers in the tabs below.Required ARequired BPrepare a Merchandise Purchases Budget for November and December.Merchandise Purchases BudgetNovemberDecemberTotal needsRequired purchases< Required A

Cash Budget- It is used to know the requirement of cash in coming time so that neccesary adjustment…

A corporation is a wholesaler of industrial goods. Data regarding the store's operations follow: • Sales are budgeted at $310,000 for November, $320,000 for December, and $300,000 for January. Collections are expected to be 45% in the month of sale and 55% in the month following the sale. • The cost of goods sold is 60% of sales. • The company desires an ending merchandise inventory equal to 25% of the cost of goods sold in the following month. Payment for merchandise is made in the month following the purchase. The November beginning balance in the accounts receivable account is $66,00. • The November beginning balance in the accounts payable account is $253,000. Required: a. Prepare a Schedule of Expected Cash Collections for November and December. b. Prepare a Merchandise Purchases Budget for November and December. Complete this question by entering your answers in the tabs below.

A corporation is a wholesaler of industrial goods. Data regarding the store's operations follow: • Sales are budgeted at $310,000 for November, $320,000 for December, and $300,000 for January. Collections are expected to be 45% in the month of sale and 55% in the month following the sale. • The cost of goods sold is 60% of sales. • The company desires an ending merchandise inventory equal to 25% of the cost of goods sold in the following month. Payment for merchandise is made in the month following the purchase. The November beginning balance in the accounts receivable account is $66,00. • The November beginning balance in the accounts payable account is $253,000. Required: a. Prepare a Schedule of Expected Cash Collections for November and December. b. Prepare a Merchandise Purchases Budget for November and December. Complete this question by entering your answers in the tabs below.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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