6 Sales mix is A the mix of variable and fixed expenses in r

6. Sales mix is A) the mix of variable and fixed expenses in relation to sales. B) the relative percentage in which a company sells its multiple products. C) a measure of leverage used by the company. D) the trend of sales over recent periods. 7. On January 1, Kale Company has a beginning cash balance of $42,000. During the year, the company expects cash disbursements of $340,000 and cash receipts of $290,000. If Kale requires an ending cash balance of $40,000, the company must borrow A) $92,000. B) $48,000. $32,000. D) $40,000.

Solution

6.B.The relative percentage in which a company sells its multiple products.

sales mix refers to the percentage in which the company sells its multiple products.

for example if a company sells two products A and B, the sales mix is presented as A:B = 60:40 , i.e of the total sales revenue 60% is from product A and 40% is from product B.

7.B$48,000.

beginning cash balance	42,000
add: receipts	290,000
less: disbursements	(340,000)
actual ending balance	(8,000)
desired ending balance	40,000
amount to be borrowed (40,000 - (-8,000))	48,000