Reference no: EM13486455
The LBJ Company has budgeted sales revenues as follows.
April May June
Credit sales $94,000 $89,500 $75,000
Cash sales 48,000 75,000 57,000
Total sales $142,000 $164,500 $132,000
Past experience indicates that 30% of the credit sales will be collected in the month of sale and the remaining 70% will be collected in the following month.
Purchases of inventory are all on credit; 40% is paid in the month of purchase and 60% in the month following purchase. Budgeted inventory purchases are $195,000 in April, $135,000 in May, and $63,000 in June.
Other budgeted cash receipts: (a) sale of plant assets for $33,000 in May, and (b) sale of new common stock for $50,000 in June. Other budgeted cash disbursements: (a) operating expenses of $15,000 each month, (b) selling and administrative expenses of $10,150 each month, (c) purchase of equipment for $35,000 cash in May, and (d) dividends of $20,000 will be paid in June.
The company has a cash balance of $20,000 at the beginning of May and wishes to maintain a minimum cash balance of $20,000 at the end of each month. An open line of credit is available at the bank and carries an annual interest rate of 10%. Assume that all borrowing is done on the first day of the month in which financing is needed and that all repayments are made on the last day of the month in which excess cash is available. Also assume that there is no outstanding financing as of May 1.
|
Explain why is the nitration of aromatic rings
: (Nitration of Methyl Benzoate Worksheet Lab) The nitric acid used in the experiment is greater than 90% pure nitric acid. Why does the yield decrease as the percentage of water in the nitric acid increases. Why is the nitration of aromatic rings a..
|
|
How much energy went into heat and sound
: An object of mass 5.00 kg and traveling 40.0 m/s to the right collides with a second object of mass 25.0 kg traveling 10.0 m/s to the left. how much energy went into heat and sound
|
|
Compute the final speeds of the particles
: A particle of mass 4.47 × 10?27 kg, moving at 9.46 × 105 m/s, strikes an identical particle which is initially at rest. What are the final speeds of the particles
|
|
What fraction of water exists as a liquid
: A system with a volume of 100L is initially empty, and then it is filled completely with water. What fraction of water exists as a liquid when 100kg are put into the system
|
|
The lbj company has budgeted sales revenues
: The LBJ Company has budgeted sales revenues
|
|
Find the total mass of vapor in the radiator
: One radiator has a volume of 0.09mt³. It contains saturated vapor at a temperature of 100°C. find The total mass of vapor in the radiator
|
|
Journal entry to record the investment in flop stock.
: January 1, 2014 Flip Company purchased 35,000 shares of common stock of Flop Corporation as a long-term investment for $900,000. December 31, 2014, Flop Corporation reported net income of $300,000 and paid dividends of $100,000.
|
|
Explain the molecular weight of iron and carbon
: Show that steel consisting of 100% cementite corresponds to a carbon concentration of 6.7%. The molecular weight of iron and carbon are 55.847 and 12.011 respectively.
|
|
Find the average kinetic energy of each helium atom
: The molecular mass of helium is 4 g/mol, the Boltzmann's constant is 1.38066×10^?23J/K, the universal gas constant is 8.31451 J/K· mol, What is the average kinetic energy of each helium atom
|