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QUESTION 4 Helsin Company manufactures lamp shades. The company quarter and has assembled the following information to assist in the budget a. The Marketing Department

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QUESTION 4 Helsin Company manufactures lamp shades. The company quarter and has assembled the following information to assist in the budget a. The Marketing Department has estimated sales as to lamp shades. The company is now preparing detailed budgets for formation to assist in the budget preparation: ollows the remainder of the year (in units): July August September 16,000 22,000 24,000 October November December 18,000 20,000 16,000 The selling price of the lamp shades is $30 per unit. D. All sales are on credit. Based on the past experience sales are collected in the following pattet. 20% 76% 4% in the month of sales In the month following sale uncollectible Sales for June totaled $420,000. c. The company maintains finished goods inventories equal to 30% of the following month's sales. This requirement will be met at the end of June. d. Each lamp shades require 2.0 feet of PTX, a material that is sometimes hard to get. Therefore, the company requires that the inventory of PTX on hand at the end of each month be equal to 40% of the following month's production needs. The inventory of PTX on hand at the beginning and end of the quarter will be: June 30 September 30 14,240 feet ? feet e The PTX costs $5 per foot. 50% of a month's purchases of PTX are paid for in the month of purchase the remainder is paid for in the following month. The accounts payable on July 1 for purchases of PTX during June will be $91,000. Required: and in total, for the third quarter. (Show your budget in both units and Prenare sales budget, by month and in total, for the third quarter. (Show your hunt xpected cash collections, by month and in total, for the third in dollar) Also prepare a schedule of expected cash collections, by month quarter. 2. Prepare a production budget for each of the months of July through October budert for PTX, by month and for total, for third quarter. Also prepare 3. Prepare a material purchases budget for PTX, by month an PTX, by month and in total, for the third quarter. schedule of expected cash payments for PTX, by month and in total, for the thi

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