Kam Department Store reported the following information for 2016: $\begin{array}{lr} &\text { October }&\text { November }&\text { December }\\ \text { Budgeted sales }&\$1,240,000&\$1,160,000&\$1,440,000 \end{array}$ -All sales are on credit. -Customer amounts on account are collected 50% in the month of sale and 50% in the following month. How much cash will Kam receive in November?

A) $580,000 B) $1,300,000 C) $1,200,000 D) $1,160,000 A) $580,000 B) $1,300,000 C) $1,200,000 D) $1,160,000

The following information was taken from Southgate Industry's cash budget for the month of July: $\begin{array}{lr} \text { Beginning cash balance } & \$ 480,000 \\ \text { Cash receipts } & 304,000 \\ \text { Cash disbursements } & 544,000 \end{array}$ If the company has a policy of maintaining a minimum end of the month cash balance of $400,000, the amount the company would have to borrow is

A) $160,000. B) $80,000. C) $240,000. D) $96,000. A) $160,000. B) $80,000. C) $240,000. D) $96,000.

The direct materials budget shows: $\begin{array}{ll} \text { Units to be produced } & 3,000 \\ \text { Total pounds needed for production } & 9,000 \\ \text { Total materials required } & 9,900 \end{array}$ What are the direct materials per unit?

A) .33 pounds B) 3.0 pounds C) 3.3 pounds D) Cannot be determined from the data provided. A) .33 pounds B) 3.0 pounds C) 3.3 pounds D) Cannot be determined from the data provided.

Exam 9: Reporting and Analyzing Long-Lived Assets

Lion Industries required production for June is 132,000 units.To make one unit of finished product, three pounds of direct material Z are required.Actual beginning and desired ending inventories of direct material Z are 300,000 and 330,000 pounds, respectively.How many pounds of direct material Z must be purchased?

(Multiple Choice)

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Question 61

A purchases budget is used instead of a production budget by

(Multiple Choice)

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Question 62

Kam Department Store reported the following information for 2016: October November December Budgeted sales \1 ,240,000 \1 ,160,000 \1 ,440,000 -All sales are on credit. -Customer amounts on account are collected 50% in the month of sale and 50% in the following month. How much cash will Kam receive in November?

(Multiple Choice)

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Question 63

Correy Inc.reported the following information for 2016: October November December Budgeted sales \ 460,000 \ 440,000 \ 540,000 Budgeted purchases \ 240,000 \ 256,000 \ 288,000 •All sales are on credit. •Customer amounts on account are collected 50% in the month of sale and 50% in the following month. •Cost of goods sold is 35% of sales. •Correy purchases and pays for merchandise 60% in the month of acquisition and 40% in the following month. •Accounts payable is used only for inventory acquisitions. How much cash will Correy receive during November?

(Multiple Choice)

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Question 64

On January 1, Kale Company has a beginning cash balance of $42,000.During the year, the company expects cash disbursements of $340,000 and cash receipts of $290,000.If Kale requires an ending cash balance of $40,000, the company must borrow

(Multiple Choice)

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Question 65

The following information was taken from Southgate Industry's cash budget for the month of July: Beginning cash balance \ 480,000 Cash receipts 304,000 Cash disbursements 544,000 If the company has a policy of maintaining a minimum end of the month cash balance of $400,000, the amount the company would have to borrow is

(Multiple Choice)

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Question 66

The direct materials budget shows: Units to be produced 3,000 Total pounds needed for production 9,000 Total materials required 9,900 What are the direct materials per unit?

(Multiple Choice)

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Question 67

Grey Company has 24,000 units in beginning finished goods.If sales are expected to be 120,000 units for the year and Grey desires ending finished goods of 30,000 units, how many units must the company produce?

(Multiple Choice)

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Question 68

The budget committee would not normally include the

(Multiple Choice)

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Question 69

Instead of a production budget, a merchandiser will prepare a

(Multiple Choice)

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Question 70

The total direct labor hours required in preparing a direct labor budget are calculated using the

(Multiple Choice)

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Question 71

A manufacturing overhead budget is not needed if the company develops a predeter-mined overhead rate to apply overhead.

(True/False)

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Question 72

Comma Manufacturing budgets on an annual basis for its fiscal year.The following beginning and ending inventory levels are planned for the fiscal year of July 1, 2016 to June 30, 2017: $\text { Raw Materials } \frac { \text { June } 30,2017 } { 3,000 \text { kilos } } \quad \frac { \text { June } 30,2016 } { 2,000 \text { kilos } }$ Three kilos of raw materials are needed to produce each unit of finished product.If Comma Manufacturing plans to produce 560,000 units during the 2016-2017 fiscal year, how many kilos of materials will the company need to purchase for its production during the year?

(Multiple Choice)

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Question 73

Correy Company reported the following information for 2016: October November December Budgeted sales \ 460,000 \ 440,000 \ 540,000 Budgeted purchases \ 240,000 \ 256,000 \ 288,000 •Cost of goods sold is 35% of sales. •Correy purchases and pays for merchandise 60% in the month of acquisition and 40% in the following month. •Accounts payable is used only for inventory acquisitions. How much is the budgeted balance for Accounts Payable at October 31, 2016?

(Multiple Choice)

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Question 74

Financial planning models and statistical and mathematical techniques may be used in forecasting sales.

(True/False)

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Question 75

Accounting generally has the responsibility for

(Multiple Choice)

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Question 76

Which of the following would not appear as a fixed expense on a selling and administrative expense budget?

(Multiple Choice)

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Question 77

Which one of the following sections would not appear on a cash budget?

(Multiple Choice)

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Question 78

In service enterprises, the critical factor in budgeting is coordinating materials and equipment with anticipated services.

(True/False)

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Question 79

The number of direct labor hours needed for production is obtained from the production budget.

(True/False)

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Question 80

A purchases budget is used instead of a production budget by

On January 1, Kale Company has a beginning cash balance of $42,000.During the year, the company expects cash disbursements of $340,000 and cash receipts of $290,000.If Kale requires an ending cash balance of $40,000, the company must borrow

The direct materials budget shows: Units to be produced 3,000 Total pounds needed for production 9,000 Total materials required 9,900 What are the direct materials per unit?

Grey Company has 24,000 units in beginning finished goods.If sales are expected to be 120,000 units for the year and Grey desires ending finished goods of 30,000 units, how many units must the company produce?

The budget committee would not normally include the

Instead of a production budget, a merchandiser will prepare a

The total direct labor hours required in preparing a direct labor budget are calculated using the

A manufacturing overhead budget is not needed if the company develops a predeter-mined overhead rate to apply overhead.

Financial planning models and statistical and mathematical techniques may be used in forecasting sales.

Accounting generally has the responsibility for

Which of the following would not appear as a fixed expense on a selling and administrative expense budget?

Which one of the following sections would not appear on a cash budget?

In service enterprises, the critical factor in budgeting is coordinating materials and equipment with anticipated services.

The number of direct labor hours needed for production is obtained from the production budget.

Introduction to Financial Statements

A Further Look at Financial Statements

The Accounting Information System

Accrual Accounting Concepts

Merchandising Operations and the Multiple-Step Income Statement

Reporting and Analyzing Inventory

Fraud, Internal Control, and Cash

Reporting and Analyzing Receivables

Reporting and Analyzing Liabilities

Reporting and Analyzing Stockholders Equity

Statement of Cash Flows

Financial Analysis: the Big Picture

Managerial Accounting

Time Value of Money

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