Managerial Accounting. 2 Questions due by 3/03/2015.

  

Here are two questions for managerial accounting. Provided the questions in a Word document. Due by 3/03/2015. Unit5Assignment.docx
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1. Turkey Treats Company makes a product that is popular at Thanksgiving, so its
biggest sales month is November. The company’s projected sales for the fourth
quarter of this year are:
Sales
October
$50,000
November
$100,000
December
$40,000
All sales are made on credit, and the company projects that 50% of sales each
month will be collected in the month that the sales are made, 30% will be collected
in the month following the sales, and 20% will be collected in the second month
after the sale. August sales totaled ,000 and September sales totaled ,000.
Prepare a schedule of cash collections from sales for each month in the fourth
quarter.
2. The Tin Bucket Company projects the following direct materials purchases:
December 2011
January 2012
February 2012
March 2012
Purchases on Account
Cash Purchases
$30,000
50,000
60,000
60,000
$20,000
30,000
20,000
30,000
The company pays for the cash purchases when they are made. The company
pays for 70% of purchases on account in the month that the purchases are made
and 30% in the next month. Prepare a schedule of expected cash payments (cash
budget) for the first quarter of 2012.

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