5 TRUE FALS AND MULTIPLE CHOICE QUESTIONS, PLEASE HELP ASAP

Janeway, Inc. has a cash balance of$24,000on April 1. The company is now preparing the cash budget for the second quarter. Budgeted cash collections and payments are as follows:

Apr	May	Jun
Cash collections	$24,000	$22,000	$24,000
Cash payments:
Purchases of direct materials	5,000	4,000	7,000
Operating expenses	5,300	5,000	5,000

There are no budgeted capital expenditures or financing transactions during the quarter. Based on the above data, calculate the projected cash balance at the end of June.

$48,000

$50,700

$62,700

$37,700

When a company is preparing a budgeted statement of cash flows, the payments to suppliers for purchases of direct materials can be obtained from the ________.

cash budget

production budget

budgeted balance sheet

sales budget

Which of the following is true of the sales budget?

It shows the cost of expected production in a period.

It is used in the production budget.

It captures the variable and fixed expenses of the business.

It provides sales data that is used to prepare financial statements for external reporting purposes.

Which of the following statements regarding the capital expenditures budget is correct?

The decision to purchase long-term assets is part of a strategic plan.

Capital expenditures are inexpensive assets.

Installment payments related to the purchase of long-term assets are included in the capital expenditures budget.

Capital expenditures are purchases of long-term assets, such as office supplies.

The manufacturing overhead budget calculates the budgeted overhead cost for the year and also the predetermined overhead allocation rate for the year.

True

False