Questions from Cost Accounting

Q: Hard Core had budgeted sales of 190,000 feet of its

Hard Core had budgeted sales of 190,000 feet of its concrete culvert products for June 2010. Each foot of product requires 4 pounds of concrete ($0.10 per pound) and 7.5 pounds of gravel ($0.04 per po...

Q: The treasurer of Homeyra Corp. needs to estimate cash collections from

The treasurer of Homeyra Corp. needs to estimate cash collections from accounts receivable for September, October, and November 2011. Forty percent of the company’s customers pay in cash and the rest...

Q: Miriam Irby is president of MI Corp. Irby has decided to

Miriam Irby is president of MI Corp. Irby has decided to take a month’s vacation with her family to South Africa, Zimbabwe, and Angola. Irby has researched the trip and determined that the total cost...

Q: Total June 2010 sales for Roy’s Catering are expected to be $

Total June 2010 sales for Roy’s Catering are expected to be $450,000. Of each month’s sales, 80 percent is expected to be on credit. The Accounts Receivable balance at May 31 is $119,600, of which $90...

Q: Sunny Systems manufactures solar panels. The company has a theoretical capacity

Sunny Systems manufactures solar panels. The company has a theoretical capacity of 50,000 units annually. Practical capacity is 80 percent of theoretical capacity, and normal capacity is 80 percent of...

Q: The October 1, 2010, Accounts Receivable balance for Darin Landscaping

The October 1, 2010, Accounts Receivable balance for Darin Landscaping is $632,500. Of that balance, $480,000 represents remaining accounts receivable from September billings. The normal collection pa...

Q: Campbell Manufacturing intends to start business on January 1, 2011.

Campbell Manufacturing intends to start business on January 1, 2011. Production plans for the first four months of operations are as follows: January …………………………..20,000 units February ………………………….50,00...

Q: The following budgeted May 2010 cash information is available for Salado Corp

The following budgeted May 2010 cash information is available for Salado Corp.: Net after-tax income …………………………………..$336,000 Depreciation expense ……………………………………..56,200 Accrued income tax expense …………...

Q: The following budgeted information about Reeves Co. is available for September

The following budgeted information about Reeves Co. is available for September 2010: Sales for September ………………………………………………………..$2,700,000 Gross profi t on sales ………………………………………………………………….40% Decrease...

Q: The following cash budget is for the third quarter of 2011.

The following cash budget is for the third quarter of 2011. Solve for the missing numbers on the cash budget, assuming that the accountant has requested a minimum cash balance of $7,000 at the start o...