Question
In: Accounting
ToyWorks Selling and Administrative Budget First Quarter For the Year Ended December 31, 2019 Month January...
| ToyWorks | ||||
| Selling and Administrative Budget | ||||
| First Quarter For the Year Ended December 31, 2019 | ||||
| Month | ||||
| January | February | March | Quarter | |
| Cash balance, beginning | 64,165 | $ - | $ - | |
| Receipts | ||||
| Cash sales | $137,500.00 | $275,000.00 | $137,500.00 | $550,000.00 |
| Credit collections | $400,188.00 | $177,750.00 | $198,750.00 | $776,688.00 |
| Total cash available | $601,853.00 | $452,750.00 | $336,250.00 | $1,326,688.00 |
| Less disbursements: | ||||
| Direct materials | $136,934.65 | $99,928.45 | $79,538.00 | $316,400.00 |
| Direct labour | $84,375.00 | $118,125.00 | $74,250.00 | $276,750.00 |
| Variable manufacturing overheads | $40,625.00 | $56,875.00 | $35,750.00 | $133,250.00 |
| Fixed manufacturing overheads | $52,000.00 | $52,000.00 | $34,200.00 | $198,600.00 |
| Variable selling and administrative expense | $16,250.00 | $32,500.00 | $16,250.00 | $65,000.00 |
| Fixed selling and administrative expense | $44,580.00 | $44,580.00 | $44,580.00 | $133,740.00 |
| Income taxes | $1,500.00 | $1,500.00 | $1,500.00 | $4,500.00 |
| Outstanding 2018 income taxes | $0.00 | $0.00 | $21,500.00 | $21,500.00 |
| Equipment purchases | $121,680.00 | $182,520.00 | $0.00 | $304,200.00 |
| Dividends | $0.00 | $0.00 | $50,000.00 | $50,000.00 |
| Total disbursements | $497,944.65 | $588,028.45 | $357,568.00 | $1,503,940.00 |
| Excess (deficiency) of cash available over disbursements |
$ 103,908.35 | $ (135,278.45) | $ (21,318.00) | $ (177,252.00) |
| Financing | ||||
| Borrowings (at beginning) | $ - | $ - | $ - | |
| Repayment (at end) | $ - | $ - | $ - | |
| Total financing | $ - | $ - | $ - | |
-
An arrangement has been made with the local bank that if ToyWorks maintains a minimum balance of $20,000 in their bank account, they will be given a line of credit at a preferred rate of 6% per annum. All borrowing is considered to happen on the first day of the month, repayments are on the last day of the month. All borrowings and repayments from the bank should be in multiples of $1,000 and interest must be paid at the end of each month. Interest is calculated on the balance at the beginning of the month, which includes any amounts borrowed that month.
Complete the financing option for the company
Solutions
Expert Solution
Lets consider the question,
Month
| January | February | March | Quarter | |
| Cash balance, beginning | 64,165 | $ | $ | |
| Receipts | ||||
| Cash sales | $137,500.00 | $275,000.00 | $137,500.00 | $550,000.00 |
| Credit collections | $400,188.00 | $177,750.00 | $198,750.00 | $776,688.00 |
| Total cash available | $601,853.00 | $452,750.00 | $336,250.00 | $1,326,688.00 |
| Less disbursements: | ||||
| Direct materials | $136,934.65 | $99,928.45 | $79,538.00 | $316,400.00 |
| Direct labour | $84,375.00 | $118,125.00 | $74,250.00 | $276,750.00 |
| Variable manufacturing overheads | $40,625.00 | $56,875.00 | $35,750.00 | $133,250.00 |
| Fixed manufacturing overheads | $52,000.00 | $52,000.00 | $34,200.00 | $198,600.00 |
| Variable selling and administrative expense | $16,250.00 | $32,500.00 | $16,250.00 | $65,000.00 |
| Fixed selling and administrative expense | $44,580.00 | $44,580.00 | $44,580.00 | $133,740.00 |
| Income taxes | $1,500.00 | $1,500.00 | $1,500.00 | $4,500.00 |
| Outstanding 2018 income taxes | $0.00 | $0.00 | $21,500.00 | $21,500.00 |
| Equipment purchases | $121,680.00 | $182,520.00 | $0.00 | $304,200.00 |
| Dividends | $0.00 | $0.00 | $50,000.00 | $50,000.00 |
| Total disbursements | $497,944.65 | $588,028.45 | $357,568.00 | $1,503,940.00 |
| Excess (deficiency) of cash available over | ||||
| disbursements | $103,908.35 | ($135,278.45) | ($21,318.00) | $ (177,252.00) |
| Minimum Balance | $20,000.00 | |||
| Financing | ||||
| Financing at beginning | $157,000 | |||
| Borrowings (at beginning)(Multiple of 1000,cannot be negative) | $0 | $157,000 | ||
| Interest charges | $0 | $785 | $900 | |
| Interest payment | $785 | $900 | ||
| Repayment (at end)(multiple of 1000) | $0 | $0 | $ | |
| Total financing | $0 | $157,000 | $180,000 |
ekkarill92 answered 8 months agoRelated Solutions
ToyWorks Selling and Administrative Budget First Quarter For the Year Ended December 31, 2019 Month January...
ToyWorks
Selling and Administrative Budget
First Quarter For the Year Ended December 31,
2019
Month
January
February
March
Quarter
Cash balance, beginning
64,165
$ -
$ -
Receipts
Cash sales
$137,500.00
$275,000.00
$137,500.00
$550,000.00
Credit collections
$400,188.00
$177,750.00
$198,750.00
$776,688.00
Total cash available
$601,853.00
$452,750.00
$336,250.00
$1,326,688.00
Less disbursements:
Direct materials
$136,934.65
$99,928.45
$79,538.00
$316,400.00
Direct labour
$84,375.00
$118,125.00
$74,250.00
$276,750.00
Variable manufacturing overheads
$40,625.00
$56,875.00
$35,750.00
$133,250.00
Fixed manufacturing overheads
$52,000.00
$52,000.00
$34,200.00
$198,600.00
Variable selling and administrative expense
$16,250.00
$32,500.00...
Prepare a selling and administrative expenses budget. October November December Selling and Administrative Expense Budget Salary...
Prepare a selling and administrative expenses budget.
October
November
December
Selling and Administrative
Expense Budget
Salary expense
Sales commissions
Supplies expense
Utilities
Depreciation on store
fixtures
Rent
Miscellaneous
Total S&A expenses
$0
$0
$0
Required information
Problem 14-23 Preparing a master budget for retail company with
no beginning account balances LO 14-2, 14-3, 14-4, 14-5, 14-6
[The following information applies to the questions
displayed below.]
Munoz Company is a retail company that specializes in selling
outdoor camping equipment. The company...
PT ABC is preparing its 4th quarter 2019 financial report (3 month period ended 31 December...
PT ABC is preparing its 4th quarter 2019 financial report (3
month period ended 31 December 2019), assuming the adjusting
entries are recorded at the end of the period. PT ABC’s
transactions in 2019 are:
● PT ABC has a bank payable of Rp. 10 billion since the end of
2018. The interest rate is 12% (no discount or premium). Interest
is paid every July 1 and January 1.
● PT ABC provided consulting services to PT Q in December...
Information for Entity A for the year ended December 31, 2019 ($ in millions): Income...
Information for Entity A for the year ended December 31, 2019 ($
in millions):
Income from continuing operations before tax
$155
Temporary differences (all related to operating income):
Accrued warranty expense in excess of expense included in
operating income
16
Depreciation deducted on tax return in excess of depreciation
expense
32
Permanent differences (all related to operating income):
Entertainment expenses (none are deductible under 2017 Tax
Act)
8
Interest received on municipal bonds
3
Balance in deferred tax asset...
Information for Entity A for the year ended December 31, 2019 ($ in millions): Income...
Information for Entity A for the year ended December 31, 2019 ($
in millions):
Income from continuing operations before tax
$155
Temporary differences (all related to operating income):
Accrued warranty expense in excess of expense included in
operating income
16
Depreciation deducted on tax return in excess of depreciation
expense
32
Permanent differences (all related to operating income):
Entertainment expenses (none are deductible under 2017 Tax
Act)
8
Interest received on municipal bonds
3
Balance in deferred tax asset...
Complete the worksheet for the month. JUDGE CREATIVE DESIGNS Worksheet Month Ended January 31, 2019 Account...
Complete the worksheet for the month.
JUDGE CREATIVE DESIGNS
Worksheet
Month Ended January 31, 2019
Account Name
Trial
Balance
Adjustments
Adjusted Trial Balance
Income Statement
Balance Sheet
Debit
Credit
Debit
Credit
Debit
Credit
Debit
Credit
Debit
Credit
Cash
$36,500
$36,500
$36,500
Accounts Receivable
13,600
13,600
13,600
Supplies
9,750
8,150
1,600
1,600
Prepaid Advertising
12,400
3,100
9,300
9,300
Prepaid Rent
25,200
2,100
23,100
23,100
Equipment
33,600
33,600
33,600
Accumulated Depreciation—Equipment
3,360
3,360
3,360
Accounts Payable
16,550
16,550
16,550
Paula Judge, Capital...
WALNUT GROVE TRIAL BALANCE For the Years Ended December 31, 2019 and December 31, 2020 2019...
WALNUT GROVE
TRIAL BALANCE
For the Years Ended December 31, 2019 and December
31, 2020
2019
2020
Debit
Credit
Debit
Credit
Cash
185,500
Accounts Receivable
125,600
Inventory
55,000
Prepaid Expenses
-
Building
275,000
Computers & Software
10,000
Furniture & Fixtures
25,000
Land
75,000
Machinery & Equipment
-
Accumulated Depreciation
15,385
Accounts Payable
48,500
Payroll Tax Payable
1,050
Sales Tax Payable
7,913
Unearned Revenue
-
Line of Credit
300,000
Notes Payable
-
Peters, J., Capital
2,500
Peters, M., Capital
2,500
Retained...
The following information is from Amos Company for the year ended December 31, 2019.
The following information is from Amos Company for the year ended December 31, 2019.
Retained earnings at December 31, 2018 (before discovery of error), $865,000.
Cash dividends declared and paid during the year, $22,000.
Two years ago, it forgot to record depreciation expense of $36,600 (net of tax benefit).
The company earned $221,000 in net income this year.
Prepare a statement of retained earnings for Amos Company.
Consider the following information for Huntersville Inc. for thefiscal year ended December 31.Depreciation expense—administrative...
Consider the following information for Huntersville Inc. for the
fiscal year ended December 31.
Depreciation expense—administrative office
$
33,750
Depreciation expense—plant and equipment
88,500
Direct labor—wages
507,000
Materials Inventory, Dec. 31
29,750
Materials Inventory, Jan. 1
21,500
Direct materials purchases
167,500
Finished goods inventory, Dec. 31
24,400
Finished goods inventory, Jan. 1
15,500
Heat, light, and power—plant
45,500
Indirect labor
26,000
Property taxes—plant
35,250
Sales representatives’ salaries
147,500
Sales revenue
1,541,000
Factory supervisor’s salary
66,750
Supplies—administrative office
17,000
Supplies—plant
29,500...
In a new business during the year ended 31 December 2019 the following debts are found...
In a new business during the year ended 31 December 2019 the
following debts are found to be bad and are written-off on the
dates shown below:
31
Jan
S. Seal &
Son
$800
31
July
H. Halt
Ltd
$500
31 Oct
A.Alice
$300
On 31 December 2019 the schedule of remaining accounts
receivable totaling $20,000 is examined and it is decided to make
an allowance for doubtful debts of $700.
Required:
Bad Debts Account for the year ended...
ADVERTISEMENT
ADVERTISEMENT
Latest Questions
- For Questions 1-3: consider the following code: public class A { private int number; protected String...
- You are tasked with assessing the health department’s intervention program in preventing recurrence of acute alcohol...
- Compare the MOSFET, JFET , and BJT and identify the reasons these devices behave differently. What...
- How would you use SAS Enterprise Miner to create a neural network model of your example?
- Explain the use of neural networking modeling in predictive analytics.
- Current Market Mix of Netflix, as detail as possible, please.
- This is all one question, thank you so much in advance! You must evaluate a proposal...
ADVERTISEMENT