K Fountain Office Supply's March 31, 2024, balance sheet follows: (Click the icon to view the balance sheet) Data table Current Assets Cash Accounts Receivable Merchandise Inventory Prepaid Insurance Total Current Assets Property, Plant, and Equipment. Equipment and Fixtures Less Accumulated Depreciation Total Assets Current Liabilities Liabilities Accounts Payable Salaries and Commissions Payable Total Liabilities $ $ 34,000 21,000 14,500 2,200 34,000 (28,000) $ $ 10,000 3,750 $ 71,700 6,000 77,700 13,750 X More info a. b. C. d. Sales in April are expected to be $60,000 Fountain forecasts that monthly sales will increase 2% over April sales in May June's sales will increase by 4% over April sales July sales will increase 20% over April sales. Fountain maintains inventory of $7,000 plus 25% of the cost of goods sold budgeted for the The budget committee of Fountain Office Supply has assembled the following data i (Click the icon to view the data) following month Cost of goods sold equal 50% of sales revenue. www **** Monthly salanes amount to $9,000 Sales commissions equal 5% of sales for that month. Other monthly expenses are as follows • Rent: $3,200 . Depreciation: $400 Insurance $200 Income tax $2,000 r April and May Print Done --X

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Question

Prepare fountain sales budget for April and May 2024. Round all calculations to the nearest dollar. Prepare fountains, inventory, purchases, and cost of good sold budget for April and May. Prepare fountain, selling and administrative expense budget for April and May.

K
Fountain Office Supply's March 31, 2024, balance sheet follows:
(Click the icon to view the balance sheet.)
Data table
Current Assets
Cash
Accounts Receivable
Merchandise Inventory
Prepaid Insurance
Total Current Assets
Property, Plant, and Equipment.
Equipment and Fixtures
Less Accumulated Depreciation
Total Assets
Current Liabilities
Liabilities
Accounts Payable
Salanes and Commissions Payable
Total Liabilities
$
$
34,000
21,000
14,500
2,200
34,000
(28,000)
$
$
10,000
3,750
$
71,700
6,000
77,700
13,750
X
More info
a.
b.
C.
d.
Sales in April are expected to be $60,000 Fountain forecasts that monthly sales will
increase 2% over April sales in May June's sales will increase by 4% over April sales July
sales will increase 20% over April sales.
The budget committee of Fountain Office Supply has assembled the following data
i (Click the icon to view the data )
Fountain maintains inventory of $7,000 plus 25% of the cost of goods sold budgeted for the
following month Cost of goods sold equal 50% of sales revenue.
Monthly salaries amount to $9,000 Sales commissions equal 5% of sales for that month
Other monthly expenses are as follows
• Rent: $3,200
Depreciation: $400
Insurance $200
Income tax $2,000
r April and May
Print
Done
Time Remaining: 01:07:50
- X
Next

Expert Solution

Trending now

This is a popular solution!

Step by step

Solved in 6 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions