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M-H C |ezto.mheducation.com/hm.tpx? tpx? 0.8510280499078248 15 f Shilow of consu

ID: 2583584 • Letter: M

Question

M-H C |ezto.mheducation.com/hm.tpx? tpx? 0.8510280499078248 15 f Shilow of consumer g The following data relate to the operations o Current assets as of March 31 Cash s 8.000 $ 22,000 S 42,600 $ 130,800 $ 25,425 S 150,000 s 27.975 and equipment, net Accounts payable a The gross margin is 25% of sales. b Actual and budgeted sales data March (actual) April May June S 55,000 $ 71,000 s 76.000 $ 101,00o S 52.000 c sales are 60% for cash and 40% on credit Credit sales are collected in the month followina sale The NO CELL PHONE USE RECEIPTS GIVEN ON ALL TRANSACTIONS W E Up

Explanation / Answer

Description March April   May June July Sale revenue                 55,000          71,000          76,000          101,000          52,000 Cash Sale-60%                 33,000          42,600          45,600            60,600          31,200 Credit Sale-40%                 22,000          28,400          30,400            40,400          20,800 Credit sale collection- next month          22,000          28,400            30,400          40,400 Monthly sale collection          64,600          74,000            91,000 Cost of goods sold-75% of sale                 41,250          53,250          57,000            75,750          39,000 Closing stock                 42,600          45,600          60,600            31,200                   -   Required Units= (Sale+Closing stock)          98,850       117,600          106,950          39,000 less openign stock          42,600          45,600            60,600          31,200 Payables for the months          56,250          72,000            46,350            7,800 Payment-same month-50%          28,125          36,000            23,175            3,900 Payment-next month-50%          25,425          28,125            36,000          23,175 Total Payment          53,550          64,125            59,175