BUSINESS COLLEGE

Budgeted production needs are determined by: A. adding budgeted sales in units to the desired ending inventory in units and deducting the beginning inventory in units from this total. B. adding budgeted sales in units to the beginning inventory in units and deducting the desired ending inventory in units from this total. C. adding budgeted sales in units to the desired ending inventory in units. D. deducting the beginning inventory in units from budgeted sales in units.

Answers

Answer 1
Answer:

Answer: Option (A) is correct.

Explanation:

The budgeted production determines the number of units that should be produced. It is derived from the combination of two components i.e. sales forecast and finished goods inventory in hand.

Budgeted production:

= Budgeted sales in units + Desired ending inventory in units - Beginning inventory in units

Answer 2
Answer:

Answer:

The correct option is A. dding budgeted sales in units to the desired ending inventory in units and deducting the beginning inventory in units from this total

Explanation:

The formula to computed the budgeted production is shown below:

= Ending inventory in units + Budgeted sales in units - Beginning inventory in units.

where,

Ending inventory is the inventory which is left at the end of the year or we can say the closing stock of inventory

Budgeted sales are the sales which is to be sell in the future

Beginning inventory is that inventory which shows at the starting of the year or we can say opening stock of inventory

Therefore, the remaining options are incorrect.

So, the correct option is A. dding budgeted sales in units to the desired ending inventory in units and deducting the beginning inventory in units from this total

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In January, Knox Company requisitions raw materials for production as follows: Job 1 $936, Job 2 $1,690, Job 3 $767, and general factory use $667.Prepare a summary journal entry to record raw materials used:

DEBIT CREDIT
Work in Process Inventory
Jan 31. Manufacturing Overhead
Raw Materials Inventory

Answers

Answer:

Materials used in production go to Work in Process so;

= 936 + 1,690 + 767

= $3,393

The materials used in the general factory will go to Manufacturing Overhead.

Date                                                                         Debit                   Credit

Jan 31   Work in Process                                     $3,393

             Manufacturing Overhead                      $   667

             Raw Materials Inventory                                                    $4,060

Western Company is preparing a cash budget for June. The company has $11,000 cash at the beginning of June and anticipates $31,000 in cash receipts and $36,500 in cash disbursements during June. Western Company has an agreement with its bank to maintain a minimum cash balance of $10,000. As of May 31, the company owes $15,000 to the bank. To maintain the $10,000 required balance, during June the company must: Borrow $10,000.
Borrow $4,500.
Repay $5,500.
Repay $4,500.
Borrow $5,500.

Answers

Answer:

Borrow $19,500

Explanation:

The movement in the cash balance between the beginning an end of a period may be expressed as

opening balance + cash collection - cash disbursed = closing balance

As such, where the  company has $11,000 cash at the beginning of June and anticipates $31,000 in cash receipts and $36,500 in cash disbursements during June, the expected closing balance

= $11,000 + $31,000 - $36,500

= $5,500

If the company is owing the bank $15,000 then the company would still owe

= $5,500 - $15,000

= ($9,500)

If the company is expected to maintain a balance of $10,000, the amount to be borrowed must be $10000 in excess of the amount owed the bank. Hence amount to be borrowed

= $10000 + $9500

= $19,500

Calculate The liabilities of a business having assets of 26,000 and in which the owner's equity is 18,000

Answers

Liability=asset-owners equity
=26000-18000
=8000

The Callie Company has provided the following information: Operating expenses were $244,000; Cost of goods sold was $378,000; Net sales were $940,000; Interest expense was $47,000; Gain on sale of a building was $84,000; Income tax expense was $142,000. What was Callie's gross profit

Answers

Answer:

Callie's Gross Profit is $562000

Explanation:

Gross profit is the profit earned by a business after deducting the costs associated with producing or selling its goods (for manufacturing and trading businesses) or the costs associated with providing the services (for service businesses) from the net revenue.

It is the profit from the trading section of the business before deducting the operating and financing expenses of the business and before adding any other income.

The gross profit is simply calculated as follows,

Gross Profit = Net Revenue - Cost of Goods Sold

Callie's gross profit = 940000 - 378000

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Which part or phrase in the passage describes a method of primary market research that Jeremy might choose?Jeremy works as a researcher for his employer. He will be conducting market research because his company plans to launch a new
product in the market. Jeremy hasn't decided on the type of research method that will help him accomplish the research task. He has
considered searching for available information in trade journals and newsletters. He also thinks that he could collect a group of
consumers and interview them personally to understand their opinions. He could also look for relevant data on business-related
websites. He has also considered referring to census reports and other publications that might help him with the research.

Answers

He also thinks that he could collect a group of consumers and interview them personally to understand their opinions.

This is the answer because in the primary market research you find people to do it for you and getting a group involves other people.

Answer:

The answer is B. I think.

Explanation:

A company has the following per unit original costs and replacement costs for its inventory: Part A: 5 units with a cost of $5, and replacement cost of $4.00 Part B: 10 units with a cost of $6, and replacement cost of $7.00 Part C: 10 units with a cost of $3, and replacement cost of $2.00 Using the lower of cost or market method applied to the individual items, the total value of this company's ending inventory is: (A) $100.00
(B) $125.00
(C) $110.00.
(D) $115.00.

Answers

Answer:

Option (A) is correct.

Explanation:

Part A:

Cost = No. of units × cost per unit

       = 5 × $5

       = $25

Replacement cost = No. of units × cost per unit

                              = 5 × $4

                              = $20

Value to be recognized = $20

Part B:

Cost = No. of units × cost per unit

       = 10 × $6

       = $60

Replacement cost = No. of units × cost per unit

                              = 10 × $7

                              = $70

Value to be recognized = $60

Part C:

Cost = No. of units × cost per unit

       = 10 × $3

       = $30

Replacement cost = No. of units × cost per unit

                              = 10 × $2

                              = $20

Value to be recognized = $20

Therefore,

Value of Ending inventory = Sum of recognized value of all the three parts

                                            = $20 + $60 + $20

                                            = $100

Hence, the total value of this company's ending inventory is $100.
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