B Sagun Limbu Layout Search 3 Share CcDc Aa Bbcc) AabbCode AaBbcc . Heading 1 Heading 2 mal Subtitle Body Text 1 Table Pa... Title Find - abc Replace Select Editing Dictate Styles Voice . Question 3 (10 marks) Central Office Supplies is a retail store supplying stationary and other office supplies to small and medium businesses. Information about the store's operation is as follows: November sales amounted to $400,000 Sales are budgeted at $440,000 for December and $400,000 for January Receipts are expected to be 60 per cent in the month of sale and 38 per cent in the month following the sale. Two per cent of sales are expected to be uncollectable The store's gross margin is 25 per cent of its sales revenue. A total of 80 per cent of the merchandise for resale is purchased in the month prior to the month of sale, and 20 per cent is purchased in the month of sale. Payment for merchandise is made in the month following the purchase. Other monthly expenses paid in cash amount to $45.200. Annual deprecation is 5432,000 . . $44.000 Central Office Supplies Balance Sheet 30 November Assets Cash Accounts receivable (net of $7000 allowance for collectable accounts) Inventory Property, plant and equipment (net of $1180000 accumulated depreciation) Total assets Liabilities and shareholders' equity Accounts payable $152.000 $260.000 31,724.000 $2.200.000 5324.000 ENG 1:34 PM 17/2020 BAP22 A T2 2020 FEX sagun limbu 1480358 erences Mailings Review View Help Search 1211 ,A. AaBbCcDc AaBbCel ABC ABCD AaBbc AaBbc Normal Subtitle Body Text Table Pa. Heading 1 Heading 2 Paragraph Styles 2. Prepare a variable costing contribution margin statement for UBS Lid. [Answer and show workings here] 2 3. Reconcile the differences between the profits under the two statements by using the short-cut method (Answer and show workings here] B Sagun Limbu Layout Search 3 Share CcDc Aa Bbcc) AabbCode AaBbcc . Heading 1 Heading 2 mal Subtitle Body Text 1 Table Pa... Title Find - abc Replace Select Editing Dictate Styles Voice . Question 3 (10 marks) Central Office Supplies is a retail store supplying stationary and other office supplies to small and medium businesses. Information about the store's operation is as follows: November sales amounted to $400,000 Sales are budgeted at $440,000 for December and $400,000 for January Receipts are expected to be 60 per cent in the month of sale and 38 per cent in the month following the sale. Two per cent of sales are expected to be uncollectable The store's gross margin is 25 per cent of its sales revenue. A total of 80 per cent of the merchandise for resale is purchased in the month prior to the month of sale, and 20 per cent is purchased in the month of sale. Payment for merchandise is made in the month following the purchase. Other monthly expenses paid in cash amount to $45.200. Annual deprecation is 5432,000 . . $44.000 Central Office Supplies Balance Sheet 30 November Assets Cash Accounts receivable (net of $7000 allowance for collectable accounts) Inventory Property, plant and equipment (net of $1180000 accumulated depreciation) Total assets Liabilities and shareholders' equity Accounts payable $152.000 $260.000 31,724.000 $2.200.000 5324.000 ENG 1:34 PM 17/2020 BAP22 A T2 2020 FEX sagun limbu 1480358 erences Mailings Review View Help Search 1211 ,A. AaBbCcDc AaBbCel ABC ABCD AaBbc AaBbc Normal Subtitle Body Text Table Pa. Heading 1 Heading 2 Paragraph Styles 2. Prepare a variable costing contribution margin statement for UBS Lid. [Answer and show workings here] 2 3. Reconcile the differences between the profits under the two statements by using the short-cut method (Answer and show workings here]
