Shooter, Inc. began operations on September 1, 2020The following balances are the ACTUAL TOTALS during 2020 (please be aware that 99.99% of the timeprojected balances are different from what turns out to be actual balances.)Sales - September, 23,000 units, October 21,000 units, November, 22,000 units, December 26,000 unitsProduction - September 28,250 units, October 20,500 units, Nov 22,500 units, December 26,000 unitsPurchases of Raw Material – Sept 172,000 pounds; Oct 105,500 pounds; Nov 117,750 pounds;December 125,125 poundsEnding Inventory (December 31, 2020), Finished Goods - 6,000 unitsEnding Inventory (December 31, 2020), Raw Material – 34,125 poundsAccounts Receivable as of December 31, 2020 - $2,035,600Allowance for Doubtful Accounts as of December 31, 2020 - $128,800Accounts Payable for raw material purchases, December 31, 2020 - $225,225Cash Balance on December 31, 2020 - $483.750Now management for Shooter, Inc. is planning for 2021 and you have been tasked to prepare the masterbudget for the company for January through June 30thEach unit will sell for $140JanuaryFebruaryMarch AprilMayJuneJulyAugForecasted Sales (in units) 24,00019,00026,000 25,000 22,000 23,000 21,00017,000Each unit requires 5 pounds of materialEach unit requires 3 hours of Direct LaborOverhead is applied based on machine hours, each unit requires 2.5 hours of machine timeEach pound of material costs $6Each machine hour costs $10 of overhead of which $1 is depreciationEach Direct Labor hour costs $20Your desired Finished Goods inventory is 25% of next month's salesYour desired Raw Material ending inventory is 30% of next month's usageYour cash collections are 65% during the month of sale, 18% the next month and 10% two months later, 6%three months later, you anticipate never collecting 1%, management policy is to show Bad Debt Expense inthe month the sale occurred and to write off any uncollected account 1 year after the sale occurred. Untilthat time, the amount estimated to never to be collected will appear in Allowance for Doubtful Accounts(go back and look at your 211 stuff)Your cash payments of raw material are 70% the month of purchase and 30% the next monthDecember January February MarchAprilMayJuneAdmin expenses - $460,000 $410,000 $370,000 $480,000 $470,000 $390,000 $400,000$25,000 of administrative expenses are depreciation, 80% of the remaining administrative expenses arepaid in the month incurred, 20% the following month.Taxes are 25% of pre-tax income, all taxes are paid the same month they are incurred.Prepare a master monthly budget for Shooter, Inc. for January through June 30". Your monthly masterbudget should include the following:1. Sales Budget in units and dollars for each month2. Production Budget in units for each month (somewhere near your budget you should calculate cost perunit)3. Direct Labor Budget for each month4. Overhead Budget (remember, some of this is depreciation)5. Purchases Budget for Raw Material for each month6. Administrative Expenses Budget (remember some of this is depreciation)7. Cash Collections Budget for each month8. Cash Disbursements Budget for each month9. Cash Budget for each month10. Income Statement for each month

The master budget is a comprehensive financial planning document. It usually includes all of the…

The following balances are the ACTUAL TOTALS during 2020 (please be aware that 99.99% of the time projected balances are different from what turns out to be actual balances.) Sales – September, 23,000 units, October 21,000 units, November, 22,000 units, December 26,000 units Production - September 28,250 units, October 20,500 units, Nov 22,500 units, December 26,000 units Purchases of Raw Material – Sept 172,000 pounds; Oct 105,500 pounds; Nov 117,750 pounds; December 125,125 pounds Ending Inventory (December 31, 2020), Finished Goods – 6,000 units Ending Inventory (December 31, 2020), Raw Material – 34,125 pounds Accounts Receivable as of December 31, 2020 – $2,035,600 Allowance for Doubtful Accounts as of December 31, 2020 - $128,800 Accounts Payable for raw material purchases, December 31, 2020 – $225,225

The following balances are the ACTUAL TOTALS during 2020 (please be aware that 99.99% of the time projected balances are different from what turns out to be actual balances.) Sales – September, 23,000 units, October 21,000 units, November, 22,000 units, December 26,000 units Production - September 28,250 units, October 20,500 units, Nov 22,500 units, December 26,000 units Purchases of Raw Material – Sept 172,000 pounds; Oct 105,500 pounds; Nov 117,750 pounds; December 125,125 pounds Ending Inventory (December 31, 2020), Finished Goods – 6,000 units Ending Inventory (December 31, 2020), Raw Material – 34,125 pounds Accounts Receivable as of December 31, 2020 – $2,035,600 Allowance for Doubtful Accounts as of December 31, 2020 - $128,800 Accounts Payable for raw material purchases, December 31, 2020 – $225,225

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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Total cost and number of units in the first seven months of 2021 are given below. According to this information, which of the following is the total cost if the company produces 500 units in August? Periods Total Cost No.of Units January 23,000 235 February 23,680 260 March 24,112 275 April 24,315 285 May 24,952 310 June 25,650 340 July 28,700 425 Select one: a. 34950 b. 30950 c. 35850 d. 32950
A company estimated the sales of 20,000 units during the month of June. The beginning inventory on hand is 2,100 units and the desired ending inventory for the month of June is 2,400 units. How many units should the company produce during the month of June? а. 19,700 units b. 20,300 units с. 24,500 units d. 15,500 units
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Total cost and number of units in the first seven months of 2020 are given below. According to this information, which of the following is the cost equation? Periods Total Cost No.of Units January 21,410 210 February 22,040 240 March 22,775 275 April 23,195 295 May 23,510 310 June 23,720 320 July 24,350 350 Select one: a. Y=17000+21*X b. Y=20500+23*X c. Y=20000+22.5*X d. Y=23150+25*X
Total cost and number of units in the first seven months of 2020 are given below. According to this information, which of the following will be the total cost in August if the company produces 415 units? Periods Total Cost 21,410 No.of Units 210 January February 22.140 240 22,875 23,295 23,620 23,830 24,350 March 275 295 April May 310 June 320 July 350 Select one: O a. 25715 O b. 25050 c. 26250 O d. 23360
Forecasted cash receipts and expenditure for the period August to October are as follows: Cash Receipts Expenditure $ $ 60,000 58,000 July August September October 54000 68,000 90,000 30,000 44,000 Additional information provided: ✓ Expenditure for the period July to October includes monthly depreciation of $5,000. ✓ Payment for the cash related expenditure would be 40% in the month of purchase, the balance being paid the following month. The company intends to sell equipment valued at $25,000 in September. Insurance of $25,000 is payable in December. Opening cash balance as at August 1, $18,800. Required: Prepare a monthly Cash Budget for the period August to October 2021.
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Total cost and number of units in the first seven months of 2020 are given below. According to this information, which of the following is the cost equation? Periods Total Cost No.of Units January 21,410 210 February March 22,040 240 22,775 275 April 23,195 295 May 23,510 310 June 23,720 320 July 24,350 350 Select one: O a. Y=23150+25*X O b. Y=20500+23*X O C.Y=20000+22.5*X O d. Y=17000+21*X
PROVIDE Answer with calculation
Subject :Accounting Not pictured: A 4th column (after "2") titled "Six Months", one blank on the final row
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