1. KuoKuts makes one product and it provided the following information to help prepare the master budget for its first four months of operations:

• The budgeted selling price per unit is $67. Budgeted unit sales for May, June, July, and August are 8,000, 11,000, 14,000, and 13,000 units, respectively. All sales are on credit.
• 35% of credit sales are collected in the month of the sale and 65% in the following month.
• The ending finished goods inventory equals 30% of the following month's unit sales.
• The ending raw materials inventory equals 24% of the following month's raw materials production needs. Each unit of finished goods requires 6 pounds of raw materials. The raw materials cost $6.00 per pound.
• 25% of raw materials purchases are paid for in the month of purchase and 75% in the following month.

What are the expected cash collections during June?

Round your answer to the nearest whole number.

2. KuoKuts makes one product and it provided the following information to help prepare the master budget for its first four months of operations:

• The budgeted selling price per unit is $63. Budgeted unit sales for May, June, July, and August are 8,000, 10,000, 14,000, and 13,000 units, respectively. All sales are on credit.
• 35% of credit sales are collected in the month of the sale and 65% in the following month.
• The ending finished goods inventory equals 30% of the following month's unit sales.
• The ending raw materials inventory equals 20% of the following month's raw materials production needs. Each unit of finished goods requires 7 pounds of raw materials. The raw materials cost $9.00 per pound.
• 25% of raw materials purchases are paid for in the month of purchase and 75% in the following month.

Assume 42,000 pounds of raw materials are needed to meet production in July, how many pounds of raw materials should be purchased in June? Note that with the above given information, you can compute the budgeted pounds of raw material needed to meet production in July, but to solve this problem, ignore your computed number of pounds of raw material needed to meet production in July and use the number given.

Round your answer to the nearest whole number.

(HINT: Begin with the PRODUCTION budget before moving to the Raw Materials numbers)

3. Elordi Engineers Corp. has the following budgeted sales data (in dollars):

	June	July	August	September
Credit Sales	290,000	290,000	270,000	290,000
Cash Sales	70,000	50,000	70,000	80,000

The regular pattern of collection of credit sales is 30% in the month of sale, 60% in the month following sale, and the remainder in the second month following the month of sale. There are no bad debts.

What would the budgeted cash receipts during September be?

Round your answer to the nearest whole number.

4. Elordi Engineers Corp. has the following budgeted sales data (in dollars):

	June	July	August	September
Credit Sales	290,000	280,000	270,000	310,000
Cash Sales	2,000	60,000	70,000	60,000

The regular pattern of collection of credit sales is 30% in the month of sale, 60% in the month following sale, and the remainder in the second month following the month of sale. There are no bad debts.

What would the budgeted accounts receivable balance be at the end of July?

Round your answer to the nearest whole number.