During December, 6,000 pounds of raw materials were purchased at a cost of $16 per pound. If there was an unfavourable materials price variance of $6,000 for December, the standard cost per pound must be

a.

$17

b.

$16

c.

$15

d.

none of the above

2

Lees Appliances forecasts the following sales figures for the next four months.

April	May	June	July
$250,000	$150,000	$225,000	$150,000

Cash sales average 10% of total sales and credit sales are collected 50% in the month of sale and 50% in the month following sale. What are the estimated cash collections in June?

a.

$191,250

b.

$207,500

c.

$195,000

d.

$150,000

e.

some other figure not listed here