Exam 7: Master Budgets and Performance Planning

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A sporting goods store budgeted August purchases of ski jackets at $140,000.The store had ski jackets costing $12,000 in its inventory at the beginning of August; and to cover part of anticipated September sales, they expect to have $25,000 of ski jackets in inventory at the end of the month of August.What is the budgeted cost of goods sold for August?

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Question 161

Match the definitions 1 through 9 with the term or phrase (a)through (i).

A quantity of inventory or materials over the minimum to reduce the risk of running short.

Sales budget

A plan that shows the units or costs of merchandise to be purchased by a merchandising company during the budget period.

Cash budget

An accounting report that presents predicted amounts of the company's revenues and expenses for the budgeting period.

Merchandise purchases budget

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A quantity of inventory or materials over the minimum to reduce the risk of running short.

A plan that shows the units or costs of merchandise to be purchased by a merchandising company during the budget period.

An accounting report that presents predicted amounts of the company's revenues and expenses for the budgeting period.

A formal statement of a company's future plans, usually expressed in monetary terms.

An accounting report that presents predicted amounts of the company's assets, liabilities, and equity balances at the end of the budget period.

A plan that shows the expected cash inflows and cash outflows during the budget period, including receipts from any loans needed to maintain a minimum cash balance and repayments of such loans.

A comprehensive business plan that includes specific plans for expected sales, the units of product to be produced, the merchandise or materials to be purchased, the expenses to be incurred, the long-term assets to be purchased, and the amounts of cash to be borrowed or loans to be repaid, as well as a budgeted income statement and balance sheet.

A plan showing the units of goods to be sold and the sales to be derived; the usual starting point in the budgeting process.

A plan that shows predicted operating expenses not included in the selling expenses budget.

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Question 162

Showing 161 - 162 of 162

Managerial Accounting Concepts and Principles

Job Order Costing and Analysis

Process Costing and Analysis

Activity-Based Costing and Analysis

Cost Behavior and Cost-Volume-Profit Analysis

Variable Costing and Performance Reporting

Flexible Budgets and Standard Costing

Performance Measurement and Responsibility Accounting

Relevant Costing for Managerial Decisions

Capital Budgeting and Investment Analysis

Reporting and Analyzing Cash Flows

Analyzing Financial Statements

Time Value of Money

Basic Accounting for Transactions

Accounting for Partnerships

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