Verstappen Motor Holdings is preparing its budget for the year ended 31 March 2022. The following information for the last six months has been prepared: Month April May June July August September REQUIRED: Cars Sold 20 40 25 34 45 42 Warranty claim expenses R 12 000 15 800 12 600 14 400 16 000 20 000 Q.3.2 If Verstappen Motor Holdings is budgeting to sell 50 cars, what will the total warranty cost be that they are likely to incur?

Verstappen Motor Holdings is preparing its budget for the year ended 31 March 2022. The following information for the last six months has been prepared: Month April May June July August September REQUIRED: Cars Sold 20 40 25 34 45 42 Warranty claim expenses R 12 000 15 800 12 600 14 400 16 000 20 000 Q.3.2 If Verstappen Motor Holdings is budgeting to sell 50 cars, what will the total warranty cost be that they are likely to incur?

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

Problem 1PS

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Kipp Industries has the following production budget for 2022: 2022 Quarter 1 3,000 Units 2022 Quarter 2 8,000 Units 2022 Quarter 3 5,000 Units 2022 Quarter 4 6,000 Units 2023 Quarter 1 5,000 Units Each unit requires 2.5 hours of direct labor and workers are paid $20 per hour. Prepare a Direct Labor Budget for each of the quarters of 2022. (No need to show the total for the year).
Paddle Up, a retailer of paddle boards, has provided you with the following information: Budgeted Sales (units) February 2022 150 March 2022 110 April 2022 70 a) Paddle Up sells each board for $400 and purchases each board for $250. b) Paddle Up plans to maintain inventory on hand at the end of each month to be 20% of next month's sales volume. You can assume this to be the situation at the end of January 2022. c) 40% of sales are made on cash basis with the remaining 60% - on credit. All credit sales are collected in the month following the sale. d) 50% of inventory purchases are made on cash basis with the remaining 50% - on credit. All credit purchases are paid in the month following the purchase. e) The following cash expenses are incurred on a monthly basis: Rent ($5,300); Wages ($5,400); Utilities ($2,100); Insurance ($600). The business also recognises $3,000 of depreciation expense each month. f) The monthly drawings by the owner Paddle Up include: $2,000 cash and 1 board for…
Here are some important figures from the budget of Cornell, Inc., for the second quarter of 2020: April May June Credit sales $ 312,000 $ 292,000 $ 352,000 Credit purchases 120,000 143,000 168,000 Cash disbursements Wages, taxes, and expenses 43,200 10,700 62,200 Interest 10,200 10,200 10,200 Equipment purchases 72,000 134,000 0 The company predicts that 5 percent of its credit sales will never be collected, 40 percent of its sales will be collected in the month of the sale, and the remaining 55 percent will be collected in the following month. Credit purchases will be paid in the month following the purchase. In March 2020, credit sales were $182,000, and credit purchases were $122,000. Using this information, complete the following cash budget. (Do not round intermediate calculations.)
The Company produces widgets. The sales forecast for 2022 is as follows: Quarter 1 3,000 Quarter 2 8,000 Quarter 3 5,000 Quarter 4 6,000 The unit selling price of the widgets is $200 each. Prepare a Sales Budget for 2022, including the annual total.

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