What is the estimated accounts payble balance at the end of july? Required Infor

Question

What is the estimated accounts payble balance at the end of july? Required Information [The following information acplies to the questions displayed below.] Morganton Company makes one product and it proviced the following information to help prepare the master budget for its first four months of operations: a. The budgeted selling price per unit is $65. Budgeted unit sales for June, July, Augurst, and Sepetember are 8,200, 12,00, 14,000, and 15,000 units, respectively. All sales are on credit. b. Forty percent of credit sales are collected in the month of the sale and 60% in the following month. c. The ending finished goods inventery equales 20% of the following month's unit sales. d. The ending raw materials invertory equals 10% of the following month's raw meterials production needs. Each unit of finished goods requires 5 pounds of raw materials. The raw materials cost $2,00 prt pund. e. Twenty percent of raw materials purchases are paid for in the month of purchase and 80% in the following month. f. The direct labor wage rate is $10 per hour. Each unit of finished goods requires two dirce labor hours. g. The variable selling and administrative expense per unit sold is $1,30. tHDE The fixed selling and adminstrative expense pe rmont is $62,000. 9. What is the estimated raw materials inventory balancfe (in dollars) at the and of July?

Explanation / Answer

June July Aug sales 8200 12000 14000 raw material purchases 41000 60000 70000 ending raw material 60000 70000 cost 120000 140000 so for july, ending raw material is $ 140000

Related Questions

Navigate

• Browse (All)
• Browse W
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.