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I need E 21-14 answered, thank you. Inventories (raw materials only): beginning, 10,000 pounds: ending, 15,000 pounds. Selling and administrative expenses: $200,000. Income taxes: 30%

I need E 21-14 answered, thank you. image text in transcribed
Inventories (raw materials only): beginning, 10,000 pounds: ending, 15,000 pounds. Selling and administrative expenses: $200,000. Income taxes: 30% of income before income taxes. Instructions (a) Prepare a schedule showing the computation of cost of goods sold for 2014. (b) Prepare a budgeted income statement for 2014. Danner Company expects to have a cash balance of $45,000 on January 1, 2014. Relevant monthly budget data for the first 2 months of 2014 are as follows. Collections from customers: January $85,000, February $150,000. Payments for direct materials: January $50,000, February $75,000. Direct labor: January $30,000, February $45,000. Wages are paid in the month they are incurred. Manufacturing overhead: January $21,000, February $25,000. These costs include depreciation of $1, 500 per month. All other overhead costs are paid as incurred. Selling and administrative expenses: January $15,000, February $20,000. These costs are exclusive of depreciation. They are paid as incurred. Sales of marketable securities in January are expected to realize $12,000 in cash. Danner Company has a line of credit at a local bank that enables it to borrow up to $25,000. The company wants to maintain a minimum monthly cash balance of $20,000. Instructions Prepare a cash budget for January and February

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