Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Please answer the following question BeachCuddly, Inc produces a highly absorbent beach towel. They are working on the budgets for April, May, & June (Q2)
Please answer the following question
BeachCuddly, Inc produces a highly absorbent beach towel. They are working on the budgets for April, May, & June (Q2) and have for your help. The unit sales forecast for the next months is: The towels sell for $15 each. Traditionally, 20% of the sales are made in cash and the remaining 80% are made on store credit. The credit sales are collected 10% in the current month and 90% in the next month. march sales are budgeted at $275,000 BeachCuddly likes to maintain an ending inventory of finished goods of 15% of next month's projected sales forecast. Each towel cost BeachCuddly $7 to buy. Complete the following budgets. Sales budget (for April, May & June) Cash Receipts budget (June only) Determine the following balances: Sales revenue on the Q_2 pro-formal income statement Accounts Receivable amount on the June 30 balance sheet. COGS on the Pro-forma income statement Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started