Calculate the rental cost per unit and the utilities cost

Reference no: EM131988329

Problem

Sutton Pointers Corporation expects to begin operations on January 1, 2015; it will operate as a specialty sales company that sells laser pointers over the Internet. Sutton expects sales in January 2015 to total $240,000 and to increase 5 percent per month in February and March. All sales are on account. Sutton expects to collect 70 percent of accounts receivable in the month of sale, 20 percent in the month following the sale, and 10 percent in the second month following the sale. Required a. Prepare a sales budget for the first quarter of 2015. Nasenko Company's cost and production data for two recent months included the following: March April Production (units) 200 400 Rent $ 1,800 $ 1,800 Utilities $ 600 $ 1,200.

Required

a. Calculate the rental cost per unit and the utilities cost per unit for both March and April.

Reference no: EM131988329

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