NEED HELP! PLEASE READ EACH QUESTION CAREFULLY AND MAKE THE ANSWERS VERY CLEAR FOR ME TO UNDERSTAND THE ANSWERS.
Gordands purchased $600,000 of merchandise in August and expects to purchase $720,000 in September. Merchandise purchases are paid as follows: 25% in the month of purchase and 75% in the following month. Compute cash disbursements for merchandise for September. GORDANDS Cash Disbursements for Merchandise (Budgeted) For Month Ended September 30 Cash disbursements for September purchases Cash disbursements for August purchases Total cash disbursements Match the definitions 1 through 9 with the term or phrase a through i. A. Budget B. Merchandise purchases budget C. Cash budget D. Safety stock E. Budgeted income statement F. General and administrative expense budget G. Sales budget H Master budget 1. Budgeted balance sheet Terms Definitions A comprehensive business plan that includes specific plans for expected sales, the units of product to be produced, the merchandise or materials to be purchased, the expenses to be incurred, the long-term assets to be purchased, and the amounts of cash to be borrowed or loans to be repaid, as well as a budgeted income statement and balance sheet. 2. A quantity of inventory or materials over the minimum to reduce the risk of running short. A plan showing the units of goods to be sold and the sales to be derived; the usual starting point in the budgeting process. An accounting report that presents predicted amounts of the company's revenues and expenses for the budgeting period. An accounting report that presents predicted amounts of the company's assets, liabilities, and equity balances at the end of the budget period. A plan that shows the units or costs of merchandise to be purchased by a merchandising company during the budget period. 7. A formal statement of a company's future plans, usually expressed in monetary terms. 8. A plan that shows predicted operating expenses not included in the selling expenses budget. A plan that shows the expected cash inflows and cash outflows during the budget period, 9. including receipts from any loans needed to maintain a minimum cash balance and repayments of such loans. Hospitable Co. provides the following sales forecast for the next four months: Sales (units) April May June July 500 580 540 620 The company wants to end each month with ending finished goods inventory equal to 25% of next month's sales. Finished goods inventory on April 1 is 190 units. Assume July's budgeted production is 540 units. Prepare a production budget for the months of April, May, and June. HOSPITABLE CO. Production Budget For April, May, and June April Next month's budgeted sales (units) 580 Ratio of inventory to future sales 25% May June 540 620 Required units of available production Units to be produced
