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Ch8 q2

Use the Excel Sheet to answer the questions below

The budget below is to use to answer the questions for Q2 below.

Solev Q2

The Question below can be answered by reviewing the Budget sheet above

Solve A- Expected cash collections for year

Solve B Total production for the year

Solve C Total cost of raw materials

Solve D Expected cash disbursements for raw material

Solve E

Ready ? Accessibility: Unavailable . The Chapter 8 Form worksheet is to be used to create your own worksheet version of the Review Problem in the text. Requirement 2: The company has just hired a new marketing manager who insists that unit sales can be dramatically increased by dropping the selling orice from $8 to $7. The marketing manager would like to use the following projections in the budget: a. What are the total expected cash collections for the year under this revised budget? b. What is the total required production for the year under this revised budget? c. What is the total cost of raw materials to be purchased for the year under this revised budget? d. What are the total expected cash disbursements for raw materials for the year under this revised budget? e. After seeing this revised budget, the production manager cautioned that due to the current production constraint, a complex milling machine, the plant can produce no more than 90,000 units in any one quarter. Is this a potential problem? No Yes

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