A3+ has prepared its 3rd quarter budget and provided the following data: The cash balatw on June 30 is projected to be $4,000, The company has to maintain a minimum -cash balance of 5,000 and is authorized to borrow at the end of each month to make up any shortfalls. It may borrow in increment of 5,000 and has to pay interest every month at an annual rate of 5%. All financing transactions are assumed to take place at the end of the month. The loan balance should be repaid in increments of 5,000 whenever there is surplus cash How much will the company have to borrow at the end of August? A) 5000 B) 10,000 C) 15,000 D) 20,000 June sales were 40,000 while projected sales for July and August were 50,000 and 60H00, respectively. Sales are 40% and 60% credit All credit sales are collected in the month following the sale. Calculate expected collection for july A) 50,000 B) 54,000 C) 36,000 D) 44,000 Which of the following best describes the term sensitivity analysis? A) I? is an analyse of the emotional sensitivity of a company s employees. B) It evaluates a company's financial condition by doing financial statement analysis. C) It is an evaluation of the accuracy of the assumptions. D) It is a testing technique to determine how results would differ if key assumptions are changed. Which of the following is useful to combine the data of different segments using different software for the purpose of creating company,wide budgets? A) Budget creation manual B) Accounting development manual C> Budgeting software D) Financial analysis software Freighter lnc. has the following budgeted figures: Calculate cost of goods sold for the month of February. A) 33.750 B) 52,000 C) 39,000 D) 40,250 Fighters Inc has the following budgeted figures: In the cash flow statement, all cash recepits and payments are categorized into: Operating activities, Financing activites and A) Investing activities. B) Budgeting activities, C) Merchandising activities. D) Controlling activities. The final step in the process of creating the master budget is the preparation of: A) the cash payments for expenses. B) the budgeted cash flow statement. C) the budgeted balance sheet. D) the operating budget The budgeted production of Gunix is 8,000 units. Each unit requires 40 minutes of direct labor work The direct laber rate is 100 per hour, Calculate the budgeted cost of direct labor for the month. A) 500,000.00 B) 566,666,66 C) 633,333.33 D) 533,333.33 Which describes the production budget? A) It aids m pUnniing tv' ensure the company has adequate inventory and cash on hand. B) It depicts the bnMUow * v>t salt's v the Kims of terms and conditions of collection of sales revenue. C) It gives the quantity vM finished gvxxis to tv manufactured during a budget period. D)It helps in pkwii^ to ensure tin' business has adequate cash. Delegate Inc has prepared the following purchases budget: Month Budgeted Purchases budget All purchase an? paid tor as follows: 10% m the u.onth of purchase, 50% in the following month, and 40% two months after purchase. Calculate total cash payments made in October for purchases,A) 70,689 B) 70,520 C) 72,630 D) 74,290 Diemans Corp -has provided a part of its budget for the 2nd quarter: The cash balance on April 1 is 12,000. Assume that there will be no financing transactions or costs during the quarter. Calculate the cash balance at the end of June. A) 85,700 B) 21,800 C) 40,800 D) 26,500 A3+ has prepared its 3rd quarter budget and provided the following data: The cash balatw on June 30 is projected to be $4,000, The company has to maintain a minimum -cash balance of 5,000 and is authorized to borrow at the end of each month to make up any shortfalls. It may borrow in increment of 5,000 and has to pay interest every month at an annual rate of 5%. All financing transactions are assumed to take place at the end of the month. The loan balance should be repaid in increments of 5,000 whenever there is surplus cash How much will the company have to borrow at the end of August? A) 5000 B) 10,000 C) 15,000 D) 20,000 June sales were 40,000 while projected sales for July and August were 50,000 and 60H00, respectively. Sales are 40% and 60% credit All credit sales are collected in the month following the sale. Calculate expected collection for july A) 50,000 B) 54,000 C) 36,000 D) 44,000 Which of the following best describes the term sensitivity analysis? A) I? is an analyse of the emotional sensitivity of a company s employees. B) It evaluates a company's financial condition by doing financial statement analysis. C) It is an evaluation of the accuracy of the assumptions. D) It is a testing technique to determine how results would differ if key assumptions are changed. Which of the following is useful to combine the data of different segments using different software for the purpose of creating company,wide budgets? A) Budget creation manual B) Accounting development manual C> Budgeting software D) Financial analysis software Freighter lnc. has the following budgeted figures: Calculate cost of goods sold for the month of February. A) 33.750 B) 52,000 C) 39,000 D) 40,250 Fighters Inc has the following budgeted figures: In the cash flow statement, all cash recepits and payments are categorized into: Operating activities, Financing activites and A) Investing activities. B) Budgeting activities, C) Merchandising activities. D) Controlling activities. The final step in the process of creating the master budget is the preparation of: A) the cash payments for expenses. B) the budgeted cash flow statement. C) the budgeted balance sheet. D) the operating budget The budgeted production of Gunix is 8,000 units. Each unit requires 40 minutes of direct labor work The direct laber rate is 100 per hour, Calculate the budgeted cost of direct labor for the month. A) 500,000.00 B) 566,666,66 C) 633,333.33 D) 533,333.33 Which describes the production budget? A) It aids m pUnniing tv' ensure the company has adequate inventory and cash on hand. B) It depicts the bnMUow * v>t salt's v the Kims of terms and conditions of collection of sales revenue. C) It gives the quantity vM finished gvxxis to tv manufactured during a budget period. D)It helps in pkwii^ to ensure tin' business has adequate cash. Delegate Inc has prepared the following purchases budget: Month Budgeted Purchases budget All purchase an? paid tor as follows: 10% m the u.onth of purchase, 50% in the following month, and 40% two months after purchase. Calculate total cash payments made in October for purchases,A) 70,689 B) 70,520 C) 72,630 D) 74,290 Diemans Corp -has provided a part of its budget for the 2nd quarter: The cash balance on April 1 is 12,000. Assume that there will be no financing transactions or costs during the quarter. Calculate the cash balance at the end of June. A) 85,700 B) 21,800 C) 40,800 D) 26,500