omts) Chapter 10 HW Mike Tackett, manager of the Troopers Café, has asked for your assistance preparing the monthly budget for January 20X8. He provides you with the prior January actuals as follows: Sales $100,400 Expenses: Labor (F) 12,000 Labor (V) 18,000 Cost of sales (V) 36,000 Supplies (V) 3,200 Energy (V) 2,620 Promotion (V) 1,300 Maintenance (F) 2,000 Maintenance (V) 1,200 Property taxes (F) 800 Depreciation (F) 1,000 Rent (F) 850 Insurance (F) 625 Subtotal 79,595 Net income $ 20,805 Assume for 20X8 sales are expected to increase by 10 percent, fixed costs will increase by 5 percent, and variable costs will remain at the same percentage of sales as experienced in the prior January. Prepare the budget for January 20X8. HOMEWORK HINT: Divide the prior January variable expenses by the prior January sales amount to come up with the percentage of sales for each variable expense. DO NOT ROUND THE PERCENTAGE! Multiply that percentage by the January 2018 Budgeted Sales Amount (that you figure out) to come up with the January 2018 Budgeted Variable Expense Amount.
omts) Chapter 10 HW Mike Tackett, manager of the Troopers Café, has asked for your assistance preparing the monthly budget for January 20X8. He provides you with the prior January actuals as follows: Sales $100,400 Expenses: Labor (F) 12,000 Labor (V) 18,000 Cost of sales (V) 36,000 Supplies (V) 3,200 Energy (V) 2,620 Promotion (V) 1,300 Maintenance (F) 2,000 Maintenance (V) 1,200 Property taxes (F) 800 Depreciation (F) 1,000 Rent (F) 850 Insurance (F) 625 Subtotal 79,595 Net income $ 20,805 Assume for 20X8 sales are expected to increase by 10 percent, fixed costs will increase by 5 percent, and variable costs will remain at the same percentage of sales as experienced in the prior January. Prepare the budget for January 20X8. HOMEWORK HINT: Divide the prior January variable expenses by the prior January sales amount to come up with the percentage of sales for each variable expense. DO NOT ROUND THE PERCENTAGE! Multiply that percentage by the January 2018 Budgeted Sales Amount (that you figure out) to come up with the January 2018 Budgeted Variable Expense Amount.
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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Chapter 10 HW
Mike Tackett, manager of the Troopers Café, has asked for your assistance preparing the monthly
budget for January 20X8. He provides you with the prior January actuals as follows:
Sales
$100,400
Expenses:
Labor (F)
12,000
Labor (V)
18,000
Cost of sales (V) 36,000
Supplies (V)
3,200
Energy (V)
2,620
Promotion (V)
1,300
Maintenance (F) 2,000
Maintenance (V) 1,200
Property taxes (F) 800
Depreciation (F) 1,000
Rent (F)
850
Insurance (F)
625
Subtotal
79,595
Net income
$ 20,805
Assume for 20X8 sales are expected to increase by 10 percent, fixed costs will increase by 5 percent,
and variable costs will remain at the same percentage of sales as experienced in the prior January.
Prepare the budget for January 20X8.
HOMEWORK HINT: Divide the prior January variable expenses by the prior January sales amount to
come up with the percentage of sales for each variable expense. DO NOT ROUND THE
PERCENTAGE! Multiply that percentage by the January 2018 Budgeted Sales Amount (that you
figure out) to come up with the January 2018 Budgeted Variable Expense Amount.
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