qw.130. Scannell Corner Shoppe is a local convenience store with the following information:(Click the icon to view the information.)Read the requirements.Data tableOctober sales were $270,000.Sales are projected to go up by 15% in November (from the October sales) andanother 20% in December (from the November sales) and then return to theOctober level in January.20% of sales are made in cash, while the remaining 80% are paid by credit or debitcards. The credit card companies and banks (debit card issuers) charge a 5%transaction fee, and deposit the net amount (sales price less the transaction fee) inthe store's bank account daily.Scannell Corner Shoppe's gross profit is 25% of its sales revenue.For the next several months, the store wants to maintain an ending merchandiseinventory equal to $19,000 + 20% of the next month's cost of goods sold. TheSeptember 30 inventory was $59,500.Expected monthly operating expenses include:• Wages of store workers are $8,800 per month• Utilities expense of $1,700 in November and $1,800 in December• Property tax expense of $2,200 per month• Property and liability insurance expense of $700 per month• Depreciation expense of $7,000 per month•.Transaction fees, as stated above, are 5% of credit and debit card sales- XRequirementsPrepare the following budgets for November and December:1. Sales budget2. Cost of goods sold, inventory, and purchases budget3. Operating expense budget4. Budgeted income statementPrintDone Requirement 1. Prepare the sales budget for November and December.Scannell Corner ShoppeSales BudgetFor the Months of November and DecemberDecemberCash salesCredit salesTotal salesNovemberH2

The estimation of expenses and revenues for a specific period of time is called budget.

Answered: Prepare the following budgets for…

Prepare the following budgets for November and December: 1. Sales budget 2. Cost of goods sold, inventory, and purchases budget 3. Operating expense budget 4. Budgeted income statement

Excel Applications for Accounting Principles

4th Edition

ISBN:9781111581565

Author:Gaylord N. Smith

Publisher:Gaylord N. Smith

Chapter22: Master Budget (master)

Section: Chapter Questions

Problem 1R: Ranger Industries has provided the following information at June 30: Other information: Average...

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