Question: 129A company plans to purchase inventory for the second half of 2014 asfollows:July$ 1,00,000August$ 75,000September$ 2,25,000October$1,25,000November$ 2,50,000December$ 30,000They usually pay 50% of inventory purchases in the month of purchase,35% in the following month, and 15% in the second month.Based on the information, what are the forecasted December cashpayments?a. $15,000b. $18,750c. $87,500d. $121,250

Step 1: Introduction to the Forecasted Cash Payments:In the master budget, the estimated cash…

Answered: Question: 129 A company plans to…

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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Kahlon Company likes to maintain its inventory quantity at the end of each month equal to one fourth of the next month’s expected sales. Kahlon had 140,000 units in inventory on November 1, 2023. Expected sales in units are 480,000 in November and 840,000 in December. How many units does Kahlon Company need to produce during November 2023?
Assume Will & Partners LLP has the following information on the number of sales orders received and order - processing costs for the latter half of 2022: Use the high -low method to estimate the order -processing costs if Will & Partners receives 3,500 sales orders in December (assume none of the above values are outliers) $36,000 $ 44,600 $38,400 $ 37,333 $42,000
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Chapter 12, Question 5. Attached is a similar question with ansswers. Please complete the new one :)
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November December January February March Actual Actual Forecast Forecast Forecast 80 000 150 000 180 000 240 000 300 000 • The cash from sales are received as follows: o 30% in the month of sale o 40% 1 month after sale o 30% 2 months after sale • Purchases are 65% of sales • Cash purchases are made in the following manner: o 20% cash in the month of purchase o 40% 1 month after purchase o 40% 2 months after purchase • Cash dividends of R15 000 was received in January • Rentals of R7 500 are due and paid at the end of each month • The company has 1 salaried employee who is paid each month • Wages incurred and paid equate to 8% of the previous months sales • The company bought a new machine in March for R250 000. Only a deposit of R130 000 was due and payable in March • A provisional tax payment of R30 000 was made at the end the February • R15 000 interest was paid against the company’s bank account in February • Dividends declared at the end of March amounted to R20 000. A 1st payment…
5. Pacific Place has developed the following sales forecast for the following months. Month Sales May $500,000 June $650,000 July $380,000 August $300,000 The collection policy for customers is: 40 percent in the month of sale 60 percent in the following month after sale How much is the expected total cash collections from customers in June? a)$260,000 b)$590,000 c)$610,000 d)$300,000 e)$560,000
The Clinton Antique Mall expects to make purchases in the first quarter of 2021 as follows: January $114,000 February 144,000 March 102,000 Purchases in December 2020 are expected to be $109,600. The company expects that 50 percent of a month's purchases will be paid in the month of purchase and 50 percent will be paid in the following month. Estimate cash disbursements related to purchases for each month of the first quarter of 2021. Cash disbursements for purchases Payment of December purchases $ Payment of January purchases Payment of February purchases Payment of March purchases $ January $ $ February $ March Activate Go to Setti

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