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  3. \table[[a,b,c,d,e,f,g,h],[d. each month's ending i

\table[[A,B,C,D,E,F,G,H],[d. Each month's ending inventory should equal:,,,,,]] This is a merchandising business. Because...

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Accounting

\table[[A,B,C,D,E,F,G,H],[d. Each month's ending inventory should equal:,,,,,]]
This is a merchandising business. Because of this, there is no direct materials, direct labor or MOH (we are not making units).
e.50% of a month's inv purchases are paid in the month of purch. 50% are paid in the following month.
f. Monthly expenses are as follows (paid monthly):
\table[[Commissions,9,800],[Rent,2,000],[Other expenses (excluding depr),10% of sales],[Depreciation per month:,1,100(includes new assets purchased this quarter)]]
g. Equipment will be acquired for cash:
\table[[\table[[May],[June]],43000],[h. A dividend will be paid in April,1500]]
i. Manny would like to maintain a minimum cash balance of $5000 at the end of each month. The company has an agreement with a local bank that allows the company to borrow in increments of $1000 at the beginning of each month, up to a total loan balance of $50,000. The interest rate on these loans is 16% annually, and for simplicity, we will assume that interest is not compounded. The company would, as far as it is able, repay the loan plus accumulated interest at the end of the quarter. A borrowing in the last month will be repaid the following quarter with interest.
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