Accounting

Assignment Print View 11/6/12 11:16 AM Score: 28.14 impermissible of 35 points (80.40%) 1. award: 12.50 tabu of 15.00 points Crydon, Inc., manufactures an advanced be planless fin for scuba divers. wariness is right away preparing exact bud write downs for the ordinal quarter, July through September, and has assembled the future(a) information to exercise in preparing the bud fall: a. The merc applyise Department has estimated gross gross changes as follows for the remainder of the course of instruction (in pair offs of swim fins): The selling expenditure of the swim fins is $11 per pair. July opulent September 5,400 6,400 4,400 October November December 3,400 2,400 2,400 b. wholly gross revenue are on account. Based on quondam(prenominal) experience, gross sales are anticipate to be collected in the following pattern: 45% in the calendar calendar calendar calendar month of sale 46% in the month following sale 9% defective The beginning accounts due balance (excluding uncollectible amounts) on July 1 pull up stakes be $129,000. c. The company maintains completed goods inventories have-to doe with to 10% of the following months sales. The stocktaking of finished goods on July 1 impart be 540 pairs. d. Each pair of swim fins requires 3 pounds of geico entangled. To keep back shortages, the company would like the entry of geico compound on devote at the end of apiece month to be follow to 20% of the following months production needs.

The inventory of geico compound on hand on July 1 go out be 3,300 pounds. e. Geico compound cost $2.50 per pound. Crydon pays for 59% of its purchases in the month of purchase; the remainder is gainful for in the following month. The accounts collectible balance for geico compound purchases will be $11,000 on July 1. unavoidable: 1a. Prepare a sales budget, by month and in total, for the thirdly quarter. Total budgeted sales July $ 59,400 August $ 70,400 September $ 48,400 force - Total $ 178,200 1b. Prepare a muniment of expected cash collections, by month and in total, for the third quarter. (Leave no cells blank - be certain to enter 0 wherever required. Do non round intermediate...If you want to get a full essay, establish it on our website: Orderessay

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