You are a junior analyst at Activision Blizzard Inc., the publisher of the Call of Duty franchise of video games. It is November 1, 2012 and the company is poised to release the next version: Call of Duty Black Ops II. The VP of marketing has asked you to produce a forecast of sales for 2013 using the historic sales growth of the whole franchise. The table below provides total sales for each version of the game. If first year's sales (for 2012) are expected to be 28 million, then what is your forecast for 2013? A History of Sales for the Call of Duty Franchise Game Title Release Date Total Sales (millions of units) Finest Hour Nov, 2004 4.50 Call of Duty 2 Nov, 2005 5.89 Call of Duty 3 Nov, 2006 7.15 Modern Warfare Nov, 2007 15.73 World at War Nov, 2008 15.98 Modern Warfare 2 Nov, 2009 22.69 Black Ops Nov, 2010 26.21 Modern Warfare 3 Nov, 2011 26.50
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- Charm Plc, a software company, has developed a new game, ‘ Fingo’, which it plans to launch in the near future. Sales of the new game are expected to be very strong, following a favourable review by a popular PC magazine. Charm Plc has been informed that the review will give the game a ‘Best Buy’ recommendation. Sales volumes, production volumes and selling prices for ‘Fingo’ over its four-year life are expected to be as follows.Year 1 2 3 4Sales and production (units)Selling price (LKR per game)150,0002570,0002460,0002360,00022Financial information on ‘Fingo’ for the first year of production is as follows:LKRDirect material cost 5.40 per gameOther variable production cost 6.00 per gameFixed costs 4.00 per gameAdvertising costs to stimulate demand are expected to be LKR 650,000 in the first year of production and LKR 100,000 in the second year of production. No advertising costs are expected in the third and forth years of production. Fixed costs represent incremental cash fixed…In March 2024, Price Company began developing a new software system to be used internally for managing its inventory. The software integrates customer orders with inventory on hand to automatically place orders for additional inventory when needed. The software then automatically records inventory as the shipment is received and read by scanners. The software development was completed in October 2024 at a cost of $150,000. Of this amount, $25,000 was spent before the application development stage was established. Price expects to use the software for at least five years. Determine the initial amount that Price should capitalize as software development costs. Capitalized costsLee Verly will be opening his company called LV Catering in January of the next year. He predicts that January, February and March will generate $170,000, $120,000 and $190,000 worth of sales respectively. The company expects to sell 15% of its products for cash. Of the sales on account, 50% are expected to be collected in the month of the sale, 25% in the month following the sale and the remainder in the following month. Prepare the cash receipts section of the cash budget. Do not enter dollar signs or commas in the input boxes. Round your answers to the nearest whole number. LV Catering Cash Receipts For January, February and March January February March Cash sales $Answer $Answer $Answer Collections from credit customers $Answer $Answer $Answer Total Cash Receipts $Answer $Answer $Answer Please don't provide answer in image format thank you
- Lee Verly will be opening his company called LV Company in January of the next year. He predicts that January, February and March will generate $105,000, $140,000 and $105,000 worth of sales respectively. The company expects to sell 40% of its products for cash. 55% of the sales on account are expected to be collected in the month of the sale, 25% in the month following the sale and the remainder in the following month. Prepare the cash receipts section of the cash budget. Do not enter dollar signs or commas in the input boxes. Round your answers to the nearest whole number. LV Company Cash Receipts For January, February and March January Cash sales 42000 Collections from credit customers $34650 Total Cash Receipts 76650 February $56000 March ✓ $42000 x xPlease use excel and show work/formulas if used.Betta Jets, a toy wholesaler, is hoping to expand into manufacturing its own products. The business owners have provided you with the following information: All sales are on credit. The company collects 70% in the month following the sale and 30% two months following the sale. All purchases of stock are paid for one month after the purchase. Equipment costing $250,000 is expected to be acquired and paid for in July. The selling and distribution expenses are $48 000 each month. Administrative expenses are $42 000 per month. This includes $5 000 of depreciation expense. Selling Expenses and Administrative Expenses are paid in the month they are incurred. The cash balance on 1 July 2022 is $28 000. The following sales and purchases data in 2022 have been compiled for the preparation of the budget: April May June July $ $ $ $ Purchases 300 000 360 000 340 000 400 000 Sales 800 000 860 000 840 000 880 000 REQUIRED: Prepare…
- Helen Bowers, owner of Helen's Fashion Designs, is planning torequest a line of credit from her bank. She has estimated the following sales forecasts for the firm for parts of 2015 and 2016: Estimates regarding payments obtained from the credit department are as follows: collected within the month of sale, 10%; collected the month following the sale, 75%; collected the second ‘month following the sale, 15%. Payments for labor and raw materials are made the month after these services were provided. Here are the estimated costs of labor plus raw materials: General and administrative salaries are approximately $27,000 a month. Lease payments under long-term leases are $9,000 a month. Depreciafion charges are $36,000 a month. Miscellaneous expenses are $2,700 a month. Income tax payments of 563,000 are due in September and December. A progress payment of $180,000 on a new design studio must be paid in October. Cash on hand on July 1 will be $132,000, and a minimum cash balance of 590,000…BJ Plc, a software company, has developed a new game, 'PUSH', which it plans to launch in the near future. Sales of the new game are expected to be very strong, following a favourable review by market analysts. Sales volumes, production volumes and selling prices for 'PUSH' over its four- year life are expected to be as follows: Year Sales and production (units) Selling price (K per game) Other financial information on production of 'BJ' is as follows: Direct material cost K5.12 per game Other variable production cost K5.67 per game Fixed costs K4.65 per game 1 160,000 K26 2 63,000 K24 3 60,000 K22 4 58,000 K21 Advertising costs to stimulate demand are expected to be K600,000 in the first year of production and K151,000 in the second year of production. No advertising costs are expected in the third and fourth years of production. Fixed costs represent incremental cash fixed production overheads. 'BJ' will be produced on a new production machine costing K820, 000. The current financing…In the coming year, Urayse, Inc. will be introducing its first product, a wrist brace that protects serious video gamers from repetitive-motion injuries. The brace will be sold for $11.25 to retailers throughout the country. All sales will be made on account. An expected 65% of sales will be collected within the quarter of the sale, and another 30 % in the quarter following the sale. The remaining 5% of credit sales are expected to be uncollectible. The sales budget for the coming year is as follows Budgeted sales units 1st Quarter: 25,000 2nd Quarter: 40,000 Prepare Urayse, Inc.'s, cash receipts budget for the coming year. 3rd Quarter:50,000 4th Quarter: 80,000
- Sara is considering whether to open a gadgets shop. She provided you, as a consultant, the following information: Sales of $60,000 and $72,000 are expected for July and August, respectively. All goods are sold on account. The collection pattern for Accounts Receivable is 80 percent in the month of sale and 20 percent in the month following the sale. Purchases of $40,000 and $54,000 are expected for July and August. The payment pattern for purchases is 70 percent in the month of purchase, 30 percent in the month following the purchase. Other monthly expenses are $8,000, which includes $2000 of depreciation. All operating expenses are paid in the month of their incurrence. $2,000 of cash is available on August 1, 2021. Required: Prepare the cash collection budget for the two months ending August 31, 2021 Prepare the cash budget for the two months ending August 31, 2021The Clothes Clutch, a retail clothier, has had average sales of $400,000 for the last five years, 2018-2022. The firm's total assets at the end of 2020 were $400,000. An internal staff cost analyst has prepared the following financial data from the annual reports. You have been hired as a consultant to help analyze the financial position. 2022 2021 2020 2019 2018 Current Ratio 2.80 2.43 2.36 2.10 2.00 Acid Test Ratio 2.03 1.93 1.82 1.61 1.47 Days' Sales in Receivables 61 58 54 42 35 Merchandise Inventory Turnover 4.20 4.10 4.10 3.90 3.70 Debt Ratio 0.48 0.50 0.49 0.47 0.47 Times Interest Earned 4.60 4.80 5.90 5.70 6.00 Sales as a Percent of 1996 Sales 1.46 1.23 1.12 1.06 1.00 Net Income as a Percent of 1998 Income 1.31 1.20 1.10 1.06 1.00 Gross Profit Margin 38.5% 38.8% 38.9% 40.0% 39.7% Operating Expenses to Net Sales 11.4% 11.3% 11.5% 11.4% 11.7% Net Profit Margin 7.6% 8.6% 8.9% 9.4% 9.3% Return on Total Assets…Background It is the 1st April 2021. Jang is the Management Accountant for the business Chinese Lantern Imports. Based on the previous month sales (March 2021) Jang sets the following targets for April 2021. April 2021 targets Targeted Lantern sales = 2,300 units Targeted Lantern unit price = $230 (per lantern) Jang calculates the cost of the Lanterns he will need to purchase in during the month as 50% of the expected sales revenue. However, at the 1st April 2021, Jang already currently has $12,400 of Lanterns stock already in his shop. Jang does not intend to buy an extra Lanterns for May 2021. Question Referring to above information, what is the cost of the Lanterns that Jang needs to purchase in, for the month of April? Select one: a. Cost of Lanterns to purchase in = $237,900 O b. Cost of Lanterns to purchase in = $0 O c. Cost of Lanterns to purchase in = $252,100 O d. Cost of Lanterns to purchase in = $264,500