Jezaret, Inc. sells tire rims. Its sales budget for the nine months ended September 30, 2024, and additional information follow: (Click the icon to view the budget.) O (Click the icon to view additional information.) Prepare an inventory, purchases, and cost of goods sold budget for each of the first three quarters of the year. Compute cost of goods sold for the entire nine-month period. Jezaret, Inc. Inventory, Purchasos, and Cost of Goods Sold Budget Nine Months Ended September 30, 2024 Quarter Ended March 31 O Data Table Plus: Less: Quarter Ended Nine-Month March 31 June 30 September 30 Total 46,500 S 108,500 Cash sales, 30% 39,000 $ 54,000 $ 139,500 91,000 126,000 325,500 Credit sales, 70% O More Info 130,000 $ 180,000 $ 155,000 S 465,000 Total sales Print Done In the past, cost of goods sold has been 40% of total sales. The director of marketing and the financial vice president agree that each quarter's ending inventory should not be below $30,000 plus 10% of cost of goods sold for the following quarter. The marketing director expects sales of $230,000 during the fourth quarter. The January 1 inventory was $36,000. Print Done
Jezaret, Inc. sells tire rims. Its sales budget for the nine months ended September 30, 2024, and additional information follow: (Click the icon to view the budget.) O (Click the icon to view additional information.) Prepare an inventory, purchases, and cost of goods sold budget for each of the first three quarters of the year. Compute cost of goods sold for the entire nine-month period. Jezaret, Inc. Inventory, Purchasos, and Cost of Goods Sold Budget Nine Months Ended September 30, 2024 Quarter Ended March 31 O Data Table Plus: Less: Quarter Ended Nine-Month March 31 June 30 September 30 Total 46,500 S 108,500 Cash sales, 30% 39,000 $ 54,000 $ 139,500 91,000 126,000 325,500 Credit sales, 70% O More Info 130,000 $ 180,000 $ 155,000 S 465,000 Total sales Print Done In the past, cost of goods sold has been 40% of total sales. The director of marketing and the financial vice president agree that each quarter's ending inventory should not be below $30,000 plus 10% of cost of goods sold for the following quarter. The marketing director expects sales of $230,000 during the fourth quarter. The January 1 inventory was $36,000. Print Done
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Master Budget
A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.
Sales Budget and Selling
A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.
Question
Transcribed Image Text:EM5-31 (similar to)
Jezaret, Inc. sells tire rims. Its sales budget for the nine months ended September 30, 2024, and additional information follow.
E(Click the icon to view the budget.)
i (Click the icon to view additional information.)
Prepare an inventory, purchases, and cost of goods sold budget for each of the first three quarters of the year. Compute cost of goods sold for the entire nine-month period.
Jezaret, Inc.
Inventory, Purchases, and Cost of Goods Sold Budget
Nine Months Ended September 30, 2024
Quarter Ended
March 31
i Data Table
Plus:
Less:
Quarter Ended
Nine-Month
March 31
June 30
September 30
Total
Cash sales, 30%
39,000 $
54,000 $
46,500 S
139,500
91,000
126,000
108,500
325,500
Credit sales, 70%
i More Info
130,000 $
180,000 $
465.000
155,000 S
Total sales
Print
Done
In the past, cost of goods sold has been 40% of total sales. The director of
marketing and the financial vice president agree that each quarter's ending
inventory should not be below $30,000 plus 10% of cost of goods sold for the
following quarter. The marketing director expects sales of $230,000 during the
fourth quarter. The January 1 inventory was $36,000.
Print
Done
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