In September 2019, the budget committee of Jason Company assembles the following data: 1. Expected Sales 2 3. 4. October $1,800,000 1,700,000 December 1,600,000 Cost of goods sold is expected to be 60% of sales. Desired ending merchandise inventory is 20% of the next month's cost of goods sold. The beginning inventory at October 1 will be the desired amount. November Prepare the budgeted income statement for October through gross profit on sales, including a cost of goods sold sch JASON COMPANY Budgeted Income Statement For the Month Ended October 31, 2019

In September 2019, the budget committee of Jason Company assembles the following data: 1. Expected Sales 2 3. 4. October $1,800,000 1,700,000 December 1,600,000 Cost of goods sold is expected to be 60% of sales. Desired ending merchandise inventory is 20% of the next month's cost of goods sold. The beginning inventory at October 1 will be the desired amount. November Prepare the budgeted income statement for October through gross profit on sales, including a cost of goods sold sch JASON COMPANY Budgeted Income Statement For the Month Ended October 31, 2019

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter8: Budgeting For Planning And Control

Section: Chapter Questions

Problem 33E: A companys controller is adjusting next years budget to reflect the impact of an expected 3 percent...

See similar textbooks

Similar questions

Ranger Industries has provided the following information at June 30: Other information: Average selling price, 196 Average purchase price per unit, 110 Desired ending inventory, 40% of next months unit sales Collections from customers: In month of sale20% In month after sale50% Two months after sale30% Projected cash payments: Inventory purchases are paid for in the month following acquisition. Variable cash expenses, other than inventory, are equal to 25% of each months sales and are paid in the month of sale. Fixed cash expenses are 40,000 per month and are paid in the month incurred. Depreciation on equipment is 2,000 per month. REQUIREMENT You have been asked to prepare a master budget for the upcoming quarter (July, August, and September). The components of this budget are a monthly sales budget, a monthly purchases budget, a monthly cash budget, a forecasted income statement for the quarter, and a forecasted September 30 balance sheet. The worksheet MASTER has been provided to assist you. Ranger Industries desires to maintain a minimum cash balance of 8,000 at the end of each month. If this goal cannot be met, the company borrows the exact amount needed to reach its goal. If the company has a cash balance greater than 8,000 and also has loans payable outstanding, the amount in excess of 8,000 is paid to the bank. Annual interest of 18% is paid on a monthly basis on the outstanding balance.
A companys controller is adjusting next years budget to reflect the impact of an expected 3 percent inflation rate. Listed below are selected items from next years budget before the adjustment. After adjusting for the 3 percent inflation rate, what is the companys total budget for the selected items before taxes for next year? a. 858,150 b. 860,412 c. 810,971 d. 858,971
A companys sales for the coming months are as follows: About 20 percent of sales are cash sales, and the remainder are credit sales. The company finds that typically 10 percent of a months credit sales are paid in the month of sale, 70 percent are paid the next month, and 15 percent are paid in the second month after sale. Expected cash receipts in July are budgeted at what amount? a. 114,520 b. 143,150 c. 145,720 d. 156,000
Palmgren Company produces consumer products. The sales budget for four months of the year is presented below. Company policy requires that ending inventories for each month be 25 percent of next months sales. At the beginning of July, the beginning inventory of consumer products met that policy. Required: Prepare a production budget for the third quarter of the year. Show the number of units that should be produced each month as well as for the quarter in total.
@ In September 2019, the budget committee of Jason Company assembles the following data: 1. Expected Sales W S 2. 3. 4. October November December 1,600,000 Cost of goods sold is expected to be 60% of sales. Desired ending merchandise inventory is 20% of the next month's cost of goods sold. The beginning inventory at October 1 will be the desired amount. #3 $1,800,000 Prepare the budgeted income statement for October through gross profit on sales, including a cost of goods sold schedule E D 1,700,000 $ 4 R F JASON COMPANY Budgeted Income Statement For the Month Ended October 31, 2019 16 % 5 T G MacBook Pro 6 tv Y & 7 H U * 00 8 1 zoom ( 9 J K DII
A. In May 2020, the budget committee of Alia, Inc. assembles the following data in preparation of budgeted merchandise purchases for the month of June. 1. Expected sales: June $750,000, July $900,000o. 2. Cost of goods sold is expected to be 80% of sales. 3. Desired ending merchandise inventory is 40% of the following (next) month's cost of goods sold. 4. The beginning inventory on June 1 will be the desired amount. Instructions (a) Compute the budgeted merchandise purchases for June. (b) Prepare the budgeted income statement for June through gross profit.
In May 2022, the budget committee of Concord Stores assembles the following data in preparation of budgeted merchandise purchases for the month of June. 1. 2. 3. 4. (a) Expected sales: June $430,000, July $516,000. Cost of goods sold is expected to be 75% of sales. Desired ending merchandise inventory is 30% of the following (next) month's cost of goods sold. The beginning inventory at June 1 will be the desired amount. Your answer is correct. Compute the budgeted merchandise purchases for June. (b) Budgeted Cost of Goods Sold Add V Total Less V CONCORD STORES Merchandise Purchases Budget For the Month Ending June 30, 2022 Desired Ending Merchandise Inventory Beginning Merchandise Inventory Required Merchandise Purchases eTextbook and Media V CONCORD STORES Budgeted Income Statement (Partial) $ Prepare the budgeted multiple-step income statement for June through gross profit. $ $ 322500 116100 438600 (96750) 341850 Attempts: 2 of 3 used
In May 2022, the budget committee of Whispering Winds Stores assembles the following data for preparing the merchandise purchases budget for the month of June: 1. Expected sales: June $536,000; July $574,000. 2. Cost of goods sold is expected to be 75% of sales. 3. Desired ending merchandise inventory is 30% of the following month's cost of goods sold. 4. The beginning inventory at June 1 will be the desired amount. (a) * Your answer is incorrect. Calculate the budgeted merchandise purchases for June. Budgeted merchandise purchases $ 393600
In May 2022, the budget committee of Concord Stores assembles the following data in preparation of budgeted merchandise purchases for the month of June. 1. 2. 3. 4. (a) Expected sales: June $430,000, July $516,000. Cost of goods sold is expected to be 75% of sales. Desired ending merchandise inventory is 30% of the following (next) month's cost of goods sold. The beginning inventory at June 1 will be the desired amount. Compute the budgeted merchandise purchases for June. CONCORD STORES Merchandise Purchases Budget $ $
In May 2022, the budget committee of Blue Spruce, Inc. assembles the following data in preparation of budgeted merchandise purchases for the month of June. 1. Expected sales: June $725,000, July $970,000. 2. Cost of goods sold is expected to be 80% of sales. 3. Desired ending merchandise inventory is 30% of the following month's cost of goods sold. 4. The beginning inventory at June 1 will be the desired amount. (a) Compute the budgeted merchandise purchases for June. BLUE SPRUCE, INC. Merchandise Purchases Budget $
Concord Company estimates that 2022 sales will be $34,400 in quarter 1, $41,280 in quarter 2, and $49,880 in quarter 3. Cost of goods sold is 50% of sales. Management desires to have ending merchandise inventory equal to 10% of the next quarter's expected cost of goods sold. Prepare a merchandise purchases budget by quarter for the first 6 months of 2022. v: v ✓ CONCORD COMPANY Merchandise Purchases Budget $ $ 1 Quarter $ $ 2 $ Six Months
B) The data collected from the sales budget for the first five months of 2020 is given for a particular product of Al Salam Corporation. As below. Months January February March April May Sales Budget (Units) 11,300 14,700 16,700 18,400 13,200 Consider the following information: The inventory of finished product at the end of each month is to be equal to 25% of the sales estimated for the next month. On January1, 2020, there were 5,000 units of production on hand. No work in progress at the end of any month. Each product requires two types of materials in following quantities. Material X: 4 Units and Material Y: 5 Units. Materials equal to one half of the next month’s production are to be in hand at the end of each month. This requirement was met on January, 2010. Prepare a budget showing quantities of each type of materials to be produced each month for the first quarter of 2010.