Ultravision Incorporated anticipates sales of $360,000 from January through April. Materials will represent 50 percent...
80.2K
Verified Solution
Link Copied!
Question
Finance
Ultravision Incorporated anticipates sales of $360,000 from January through April. Materials will represent 50 percent of sales, and because of level production, material purchases will be equal for each month during the four months of January, February, March, and April.
Materials are paid for one month after the month purchased. Materials purchased in December of last year were $32,000 (half of $64,000 in sales). Labor costs for each of the four months are slightly different due to a provision in the labor contract in which bonuses are paid in February and April. The labor figures are:
January
$ 22,000
February
25,000
March
22,000
April
27,000
Fixed overhead is $18,000 per month.
Prepare a schedule of cash payments for January through April.
Note: Assume the $360,000 of sales occur equally over the four months of January through April, i.e. Monthly sales = $360,000 4. Input your answer as positive a value.
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
