Romper Company expects its November sales to be 20% higher than its October sales, which were $165,000. All sales are on credit and are collected as follows: 35% in the month of the sale and 60% in the following month. Purchases were $110,000 in October and are expected to be $140,000 in November. Purchases are paid 40% in the month of purchase and 60% in the following month. The cash balance on November 1 is $13,500. The cash balance on November 30 will be Select one: a. $46,300 b. $59,800 c. $52,050 d. $32,800 e. $54,500 f. $69,300
Romper Company expects its November sales to be 20% higher than its October sales, which were $165,000. All sales are on credit and are collected as follows: 35% in the month of the sale and 60% in the following month. Purchases were $110,000 in October and are expected to be $140,000 in November. Purchases are paid 40% in the month of purchase and 60% in the following month. The cash balance on November 1 is $13,500. The cash balance on November 30 will be Select one: a. $46,300 b. $59,800 c. $52,050 d. $32,800 e. $54,500 f. $69,300
Chapter7: Budgeting
Section: Chapter Questions
Problem 14EB: Earthies Shoes has 55% of its sales in cash and the remainder on credit. Of the credit sales, 70% is...
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Romper Company expects its November sales to be 20% higher than its October sales, which were $165,000. All sales are on credit and are collected as follows: 35% in the month of the sale and 60% in the following month. Purchases were $110,000 in October and are expected to be $140,000 in November. Purchases are paid 40% in the month of purchase and 60% in the following month. The cash balance on November 1 is $13,500. The cash balance on November 30 will be
Select one:
a. $46,300
b. $59,800
c. $52,050
d. $32,800
e. $54,500
f. $69,300
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