4 Blue has forecast sales to be 410000 in February 540000 in

4. Blue has forecast sales to be $410,000 in February, $540,000 in March, 620,000 in May. The average cost of goods sold is 60% of sales sales are collected 50% inthe month of sale, 30% the month folowing after the sale. What are budgeted cash receipts in May 580,000 in April, and . Al sales are made on credit and month following and the remainder two months A May A. $592.000 B. $620,000 C. $310,000 D. $483,334 246, 3240 342 37 20oo 5. sales to be $250,000 in February, s270.000 in March, $300,000 in April, and Orchard has forecast $280,000 in May. The average cost of goods sold is 70% of sales. Al sales are made on crea and sales are collected 60% in the month of sale, and 40% the month folowig what is the budgeted Accounts Receivable balance on May 31? A $196,000 B. $117,600 C. $112,000 D. $168,000 6. A quantity standard is A the total dollar amount that a company expects to spend to achieve a given level of output B. a form that shows what the company should spend to make a single unit of product C. the price that should be paid for a specific quantity of input D. the amount of input that should be used in each unit of product or service.

Solution

q4) Feb mar apr may sales cash receipts cash receipts cash receipts cash receipts feb 410000 205000 123000 82000 mar 540000 270000 162000 108000 apr 580000 290000 174000 may 620000 310000 total 592000 Ans: 592000 q5) Answer c)$112000 calculation : 40% of may sales = 40%*280000 = 112000 Q6) Ans: D quantity standard is the amount of input that should be used in the production of a single unit by defination