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1a. 1b. 1c. 1a. 2b. please answer all questions completely. Milo Company manufactures beach umbrellas. The company is preparing detailed budgets for the third quarter
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please answer all questions completely.
Milo Company manufactures beach umbrellas. The company is preparing detailed budgets for the third quarter and has assembled the following information to assist in the budget preparation: a. The Marketing Department has estimated sales as follows for the remainder of the year (in units): July August September 36,000 82,000 51,000 October November December 26,000 12,500 13,000 The selling price of the beach umbrellas is $15 per unit. b. All sales are on account Based on past experience, sales are collected in the following pattern: 30% in the month of sale 65% in the month following sale 5% uncollectible Sales for June totaled $465,000. Calculate the expected cash collections, by month and in total, for the third quarter. July August September Quarter Total cash collections Calculate the expected cash disbursements for raw material (Gilden) purchases, by month and in total, for the third quarter. July August September Quarter otal cash disbursementsStep by Step Solution
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