Question
help pls! The marketing department of Jessi Corporation has submitted the following sales forecast for the upcoming fiscal year (all sales are on account): 1st
help pls!
The marketing department of Jessi Corporation has submitted the following sales forecast for the upcoming fiscal year (all sales are on account):
1st Quarter | 2nd Quarter | 3rd Quarter | 4th Quarter | |
Budgeted unit sales | 11,000 | 12,000 | 14,000 | 13,000 |
The selling price of the companys product is $18.00 per unit. Management expects to collect 65% of sales in the quarter in which the sales are made, 30% in the following quarter, and 5% of sales are expected to be uncollectible. The beginning balance of accounts receivable, all of which is expected to be collected in the first quarter, is $70,200.
The company expects to start the first quarter with 1,650 units in finished goods inventory. Management desires an ending finished goods inventory in each quarter equal to 15% of the next quarters budgeted sales. The desired ending finished goods inventory for the fourth quarter is 1,850 units.
Required:
1. Calculate the estimated sales for each quarter of the fiscal year and for the year as a whole.
2. Calculate the expected cash collections for each quarter of the fiscal year and for the year as a whole.
3. Calculate the required production in units of finished goods for each quarter of the fiscal year and for the year as a whole.
Required 1:
Calculate the estimated sales for each quarter of the fiscal year and for the year as a whole.
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Required 2: Calculate the expected cash collections for each quarter of the fiscal year and for the year as a whole.
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Required 3:
Calculate the required production in units of finished goods for each quarter of the fiscal year and for the year as a whole.
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