Q1. What is Swamp Fox's estimated sales in units for next year?
A. 41,485 pairs.
B. 38,300 pairs.
C. 40,000 pairs.
D. 40,685 pairs.
E. Some other amount.
Q2. . What is Swamp Fox's estimated sales revenue for next year if each pair sells for an average of $30?
A. $1,149,000.
B. $1,200,000.
C. $1,220,550.
D. $1,244,550.
E. Some other amount
Q3. . Bird plans to sell 5,000 units each quarter next year. During the first two quarters each unit will sell for $12; during the last two quarters the sales price will increase $1.50 per unit. What is Bird's estimated sales revenue for next year?
A. $240,000.
B. $255,000.
C. $270,000.
D. $244,000.
E. Some other amount.
Q4. . Bison Sporting Goods sells bicycles throughout the northeastern United States. The following data were taken from the most recent quarterly sales forecast:
On the basis of the information presented, how many bicycles should the company purchase in August?
A. 1,860.
B. 1,950.
C. 2,040.
D. 2,250.
E. Some other amount.
Q5. Swansong plans to sell 10,000 units of a particular product during July, and expects sales to increase at the rate of 10% per month during the remainder of the year. The June 30 and September 30 ending inventories are anticipated to be 1,100 units and 950 units, respectively. On the basis of this information, how many units should Swansong purchase for the quarter ended September 30?
A. 31,850.
B. 32,150.
C. 32,950.
D. 33,250.
E. Some other amount.
Q6. Yorkley Corporation plans to sell 41,000 units of its single product in March. The company has 2,800 units in its March 1 finished-goods inventory and anticipates having 2,400 completed units in inventory on March 31. On the basis of this information, how many units does Yorkley plan to produce during March?
A. 40,600.
B. 41,400.
C. 43,800.
D. 46,200.
E. Some other amount.
Q7. Coleman, Inc. anticipates sales of 50,000 units, 48,000 units, and 51,000 units in July, August, and September, respectively. Company policy is to maintain an ending finished-goods inventory equal to 40% of the following month's sales. On the basis of this information, how many units would the company plan to produce in July?
A. 46,800.
B. 49,200.
C. 49,800.
D. 52,200.
E. Some other amount.
Q8. Coleman, Inc. anticipates sales of 50,000 units, 48,000 units, and 51,000 units in July, August, and September, respectively. Company policy is to maintain an ending finished-goods inventory equal to 40% of the following month's sales. On the basis of this information, how many units would the company plan to produce in August?
A. 48,000.
B. 49,200.
C. 49,800.
D. 50,600.
E. Some other amount.
Q9. Coleman, Inc. anticipates sales of 50,000 units, 48,000 units, 51,000 units and 50,000 units in July, August, September and October, respectively. Company policy is to maintain an ending finished-goods inventory equal to 40% of the following month's sales. On the basis of this information, how many units would the company plan to produce in September?
A. 46,800.
B. 49,200.
C. 49,800.
D. 50,600.
E. Some other amount.
Q10. Telfair & Company had 3,000 units in finished-goods inventory on December 31. The following data are available for the upcoming year:
The number of units the company expects to sell in January is:
A. 6,900.
B. 8,900.
C. 9,400.
D. 9,900.
E. 11,900.
45. Tidewater plans to sell 85,000 units of product no. 794 in May, and each of these units requires three units of raw material. Pertinent data follow.
On the basis of the information presented, how many units of raw material should Tidewater purchase for use in May production?
A. 228,000.
B. 246,000.
C. 264,000.
D. 282,000.
E. Some other amount.
Q11. An examination of Shorter Corporation's inventory accounts revealed the following information:
Raw materials, June 1: 46,000 units
Raw materials, June 30: 51,000 units
Purchases of raw materials during June: 185,000 units
Shorter's finished product requires four units of raw materials. On the basis of this information, how many finished products were manufactured during June?
A. 45,000.
B. 47,500.
C. 57,750.
D. 70,500.
E. Some other amount.
Q12. Nguyen plans to sell 40,000 units of product no. 75 in June, and each of these units requires five square feet of raw material. Pertinent data follow.
If the company purchases 201,000 square feet of raw material during the month, the estimated raw-material inventory on June 30 would be:
A. 11,000 square feet.
B. 13,000 square feet.
C. 23,000 square feet.
D. 25,000 square feet.
E. some other amount.
Q13. Northwest manufactures a product requiring 0.5 ounces of platinum per unit. The cost of platinum is approximately $360 per ounce; the company maintains an ending platinum inventory equal to 10% of the following month's production usage. The following data were taken from the most recent quarterly production budget:
The cost of platinum to be purchased to support August production is:
A. $195,840.
B. $198,000.
C. $200,160.
D. $391,680.
E. Some other amount.
Q14. Northwest's production data for one of its products were taken from the most recent quarterly production budget:
If it takes two direct labor hours to produce each unit and Northwest's cost per labor hour is $15, direct labor cost for August would be budgeted at:
A. $16,500.
B. $31,200.
C. $33,000.
D. $34,800.
E. Some other amount.
Q15. Northcutt's production data for a new deluxe product were taken from the most recent quarterly production budget:
In addition, Northcutt produces 5,000 units a month of its standard product. It takes two direct labor hours to produce each standard unit and 2.25 direct labor hours to produce each deluxe unit. Northwest's cost per labor hour is $15. Direct labor cost for July would be budgeted at:
A. $183,750.
B. $187,125.
C. $189,125.
D. $194,750.
E. Some other amount.
Q16. Northcutt's production data for a new deluxe product were taken from the most recent quarterly production budget:
In addition, Northcutt produces 5,000 units a month of its standard product. It takes two direct labor hours to produce each standard unit and 2.25 direct labor hours to produce each deluxe unit. Northwest's cost per labor hour is $15. Direct labor cost for August would be budgeted at:
A. $187,125.
B. $194,750.
C. $197,107.
D. $183,250.
E. Some other amount. 52. Northcutt's production data for a new deluxe product were taken from the most recent quarterly production budget:
Q17. In addition, Northcutt produces 5,000 units a month of its standard product. It takes two direct labor hours to produce each standard unit and 2.25 direct labor hours to produce each deluxe unit. Northwest's cost per labor hour is $15. Direct labor cost for September would be budgeted at:
A. $187,125.
B. $183,075.
C. $194,750.
D. $197,075.
E. Some other amount.53. Northcutt's production data for a new deluxe product were taken from the most recent quarterly production budget:
Q18. In addition, Northcutt produces 5,000 units a month of its standard product. It takes two direct labor hours to produce each standard unit and 2.25 direct labor hours to produce each deluxe unit. Northwest's cost per labor hour is $15. Direct labor cost for the quarter would be budgeted at:
A. $519,075.
B. $533,125.
C. $547,750.
D. $553,950.
E. Some other amount.
Q19. Quattro began operations in April of this year. It makes all sales on account, subject to the following collection pattern: 30% are collected in the month of sale; 60% are collected in the first month after sale; and 10% are collected in the second month after sale. If sales for April, May, and June were $60,000, $80,000, and $70,000, respectively, what were the firm's budgeted collections for April?
A. $18,000.
B. $21,000.
C. $60,000.
D. $65,000.
E. Some other amount.
Q20. Quattro began operations in April of this year. It makes all sales on account, subject to the following collection pattern: 30% are collected in the month of sale; 60% are collected in the first month after sale; and 10% are collected in the second month after sale. If sales for April, May, and June were $60,000, $80,000, and $70,000, respectively, what were the firm's budgeted collections for May?
A. $21,000.
B. $60,000.
C. $69,000.
D. $75,000.
E. Some other amount.
Q21. Quattro began operations in April of this year. It makes all sales on account, subject to the following collection pattern: 30% are collected in the month of sale; 60% are collected in the first month after sale; and 10% are collected in the second month after sale. If sales for April, May, and June were $60,000, $80,000, and $70,000, respectively, what were the firm's budgeted collections for June?
A. $21,000.
B. $60,000.
C. $69,000.
D. $75,000.
E. Some other amount.
Q22. Quattro began operations in April of this year. It makes all sales on account, subject to the following collection pattern: 30% are collected in the month of sale; 60% are collected in the first month after sale; and 10% are collected in the second month after sale. If sales for April, May, and June were $60,000, $80,000, and $70,000, respectively, what were the firm's budgeted collections for the quarter?
A. $121,000.
B. $140,000.
C. $153,000.
D. $175,000.
E. Some other amount.
Q23. Verna's makes all sales on account, subject to the following collection pattern: 20% are collected in the month of sale; 70% are collected in the first month after sale; and 10% are collected in the second month after sale. If sales for October, November, and December were $70,000, $60,000, and $50,000, respectively, what was the budgeted receivables balance on December 31?
A. $40,000.
B. $46,000.
C. $49,000.
D. $59,000.
E. Some other amount.
Q24. Dragon makes all sales on account, subject to the following collection pattern: 30% are collected in the month of sale; 60% are collected in the first month after sale; and 10% are collected in the second month after sale. If sales for June, July, and August were $120,000, $160,000, and $220,000, respectively, what were the firm's budgeted collections for August and the company's budgeted receivables balance on August 31?
A. Choice A
B. Choice B
C. Choice C
D. Choice D
E. Choice E
Q25. The following selected data pertain to Phineus Corporation:
July's cash disbursements are expected to be:
A. $404,000.
B. $464,000.
C. $674,000.
D. $734,000.
E. Some other amount.
Q26. Digregory makes all purchases on account, subject to the following payment pattern:
Paid in the month of purchase: 30%
Paid in the first month following purchase: 60%
Paid in the second month following purchase: 10%
If purchases for January, February, and March were $200,000, $180,000, and $230,000, respectively, what were the firm's budgeted payments in March?
A. $69,000.
B. $138,000.
C. $177,000.
D. $197,000.
E. Some other amount.
Q27. Brooke-lyn makes all purchases on account, subject to the following payment pattern:
Paid in the month of purchase: 30%
Paid in the first month following purchase: 65%
Paid in the second month following purchase: 5%
If purchases for April, May, and June were $200,000, $160,000, and $250,000, respectively, what was the firm's budgeted payables balance on June 30?
A. $175,000.
B. $179,000.
C. $183,000.
D. $189,000.
E. Some other amount.
Q28. Wolverine, Inc. began operations on January 1 of the current year with a $12,000 cash balance. Forty percent of sales are collected in the month of sale; 60% are collected in the month following sale. Similarly, 20% of purchases are paid in the month of purchase, and 80% are paid in the month following purchase. The following data apply to January and February:
If operating expenses are paid in the month incurred and include monthly depreciation charges of $2,500, determine the change in Wolverine's cash balance during February.
A. $2,000 increase.
B. $4,500 increase.
C. $5,000 increase.
D. $7,500 increase.
E. Some other amount.
Q29. The Gingham Company's budgeted income statement reflects the following amounts:
Sales are collected 50% in the month of sale, 30% in the month following sale, and 19% in the second month following sale. One percent of sales is uncollectible and expensed at the end of the year.
Gingham pays for all purchases in the month following purchase and takes advantage of a 3% discount. The following balances are as of January 1:
*Of this balance, $35,000 will be collected in January and the remaining amount will be collected in February.
The monthly expense figures include $5,000 of depreciation. The expenses are paid in the month incurred.
Q30. Gingham's expected cash balance at the end of January is:
A. $87,000.
B. $89,160.
C. $92,000.
D. $94,160.
E. $113,160.
Q31. Gingham's budgeted cash receipts in February are:
A. $91,000.
B. $95,000.
C. $113,090.
D. $113,640.
E. $114,000.
Q32. Gingham's budgeted cash payments in February are:
A. $75,660.
B. $94,860.
C. $97,200.
D. $99,860.
E. $102,200.
Q33. Gingham's expected cash balance at the end of February is:
A. $87,000.
B. $89,160.
C. $92,000.
D. $94,160.
E. $113,300.