Assume a company's sales budget for Apnl and May is 30.000 units and 32.000 units,...

90.2K

Verified Solution

Question

Accounting

image
image
Assume a company's sales budget for Apnl and May is 30.000 units and 32.000 units, resgectively. its production budget for the same two months is 27,000 units and 28,800 units, respectively. Each unit of finished goods required 4 pounds of raw materials. The compory always maintains raw materials inventory equal to 15% of the following months production needs Also assume the company pays $2.50 per pound of raw material, tt always pays for 505 of its raw materiar purchases in the month of purchose and the remainder in the following month. The accounts payable balance on March 31st is $130,000. How much cash disbursements for raw materials purchases would be shown in the company's cash budget for Apri?? Also assume the company pays $2.50 per pound of taw ntateriat. it alWays poys for 50 s of its raw material purchases in the month of purchase and the remainder in the following month. The accounts payable balance on March 31st is 5130000 . How much cash disbursements for row moterials purchases would be shown in the compary/s cash budget for Apri? Muitiple croice $266,350 5262,750 $271.350 $272750

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students