80.2K

Verified Solution

Link Copied!

I need help with b, e, and g. Please provide the steps and the calculations, I will give thumbs up, thank you!

Sales are 40% cash and 60% on account, and 60% of credit sales are collected in the month of the sale. In the month after the sale, 40% of credit sales are collected. It takes 4kg of direct materials to produce a finished unit, and direct materials cost $5 per kg. All direct materials purchases are on account, and are paid as follows: 40% in the month of the purchase and 60% the following month. Ending direct materials inventory for each month is 40% of the next month's production needs. January's beginning materials inventory is 990kg. Suppose that both accounts receivable and accounts payable are zero at the beginning of January. Your answer is correct. What are the total cash sales for the January-March quarter? What is the accounts receivable balance at the end of March? Your answer is correct. What is the direct materials inventory balance at the end of March? Direct materials inventory balance Your answer is correct. What are the materials purchases costs for February? What are cash payments on account for February? Your answer is correct. What is the ending balance in accounts payable for March? What is the change in the cash balance for the period January-March

Answer & Explanation Solved by verified expert

See Answer