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Current Assets: Cash Accounts Receivable Merchandise Inventory Prepaid Insurance Total Current Assets Property, Plant, and Equipment: Equipment and Fixtures Assets Less: Accumulated Depreciation Total Assets
Current Assets: Cash Accounts Receivable Merchandise Inventory Prepaid Insurance Total Current Assets Property, Plant, and Equipment: Equipment and Fixtures Assets Less: Accumulated Depreciation Total Assets Current Liabilities: Liabilities $ 35,000 22,000 40,500 1,500 99,000 r 61,000 (18,000) 43,000 rill $ 142,000. or a. b. Sales in April are expected to be $220,000. Printer forecasts that monthly sales will increase 2% over April sales in May. June's sales will increase by 4% over April sales. July sales will increase 20% over April sales. Printer maintains inventory of $13,000 plus 25% of the cost of goods sold budgeted for the following month. Cost of goods sold equal 50% of sales revenue. C. Monthly salaries amount to $3,000. Sales commissions equal 5% of sales for that month. Other monthly expenses are as follows: d. Rent: $2,800 Depreciation: $700 Insurance: $200 Income tax: $1,500 Requirement 2. Prepare Printer's inventory, purchases, and cost of goods sold budget for April and May. Printer Supply Company Inventory, Purchases, and Cost of Goods Sold Budget April and May, 2024 April Cost of goods sold Plus: Desired ending merchandise inventory Total merchandise inventory required Less: Beginning merchandise inventory May Budgeted Purchases Requirement 3. Prepare Printer's selling and administrative expense budget for April and May April and May, 2024 April May Variable expenses: Commissions Expense. Fixed expenses: Salaries Expense Rent Expense Depreciation Expense Insurance Expense Total fixed expenses Total selling and administrative expenses
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