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The Adams Corporation, a merchandising firm, has budgeted its activity for November according to the following information: Sales at $480,000, all for cash. Merchandise inventory
The Adams Corporation, a merchandising firm, has budgeted its activity for November according to the following information: Sales at $480,000, all for cash. Merchandise inventory on October 31 was $215,000 The cash balance November 1 was $21,000. Selling and administrative expenses are budgeted at $69,000 for November and are paid for in cash. Budgeted depreciation for November is $31,000. The planned merchandise inventory on November 30 is $245,000. The cost of goods sold is 70% of the selling price. All purchases are paid for in cash. There is no interest expense or income tax expense. The budgeted cash receipts for November are: $135,000 $345,000 $511000 $480,000
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