38) Shown below is the sales forecast for Price Lid for the first four months of the coming year Cash sales Credit sales Jan $15,000 $100.000 Feb Ma Ape $24,000 $15,000 $14,000 $120,000 590,000 $20,000 On average, 50% of credit sales are paid for in the month of the sale, 30% in the mouth following sale, and the remainder are paid two months after the month of the sale. Assuming no bad debt, the expected cash flows in March is x) $135,000 bj $122,000 0 $119,000 di $108.000 39) Using the information from Question 38. Assuming no bad debes, the expected cash flows in April is 2206 a) $50,400 by $36,400 $100,000 5103,200 40) Which ONE of the following budgets will only provide number of units and not hoth units and dollars? Production budget Material purchase budget Overheads budget d) Direct labour budg 41) Bootie Ltd. has put together the following data to complete the operating budget for the next three months in 2020. Sale units June 73,200 July August 68,900 65,400 Bootie's policy is to have 60% of the following month's sales in inventory. On 1 June, inventory equalled 43,920 units. It takes 2.5 hours of direct labour to produce 1 unit. The average wage cost is $14 per hour. What are the production units for June and July respectively? 70,620; 60,720 b) 70,620; 66,800 85,260; 80,580 d) 85,260; 84,340 42) Using the information from Question 41. What are the direct labour costs for June and July respectively? $2,471,700; $2,338,000 b) $2,471,700; $2,125,200 c) $2,984,100; $2,125,200 d) $2,984,100; $2,951,900 43) Which of the following is NOT an advantage of participative budgeting? eage t b) Possibility of setting easily achievable budget. Creates ownership amongst managers. Enhances communication amongst managers. Brings out creativity amongst managers. 44) A computer firm has the following production costs for a component: direct materials $10, direct labour cost $25 and fixed overhead $5. A supplier offered to sell to the company the component at $34. The firm may consider buying the component if the supplier is reliable 6608 b) the fixed cost is irrelevant. c) the additional cost, other than purchase price, is less than $1 d) All of the above