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History Entertainment distributes a DVD which sells for $ 1 2 per unit. History pays $ 7 per unit to buy the product. Selling cost
History Entertainment distributes a DVD which sells for $ per unit. History pays $ per unit to buy the product. Selling cost of $ per unit is incurred to deliver the product to the customer. This is paid in cash when the product is sold.
History has $ per month in fixed selling and administrative expenses including $ in depreciation which are paid half in the month incurred and half in the next month.
It is Historys policy to maintain an inventory at the end of each month equal to of the next months projected cost of sales.
History makes of sales in cash, and the rest are on credit. Credit sales are collected in the month after sale. Budgeted monthly sales for the first five months of are as follows:
January units
February units
March units
April units
May units
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