1. XYZ Hospital has provided you with the following budget information for April:

Cash collections April 1 cash balance Cash disbursements

P876,000 23,000 978,600

XYZ has a policy of maintaining a minimum cash balance of P20,000 and borrows only in P1,000 increments.

How much will XYZ borrow in April?

Production estimates for August for KON Company are as follows:

Estimated inventory (units), August 1 Desired inventory (units), August 31 Expected sales volume (units), August

12,000 9,000 75,000

For each unit produced, the direct materials requirements are as follows: Material A ($5 per lb.) 3.0 lbs.

Material B ($18 per lb.) 0.5 lb.

1. What is the number of pounds of Material A required for August production?
2. What is the number of pounds of Material B required for August production?