Shalom Company prepared its production plan for each quarter of 2023: Units 24,000 Quarter 1 2 3 4 42,000 Five units of materials are needed to produce each unit of product. Each unit of material costs PO.60. Shalom Company wants to maintain ending inventory at 25% of production requirements for the next quarter. Total materials needed for production of 28,000 units in the first quarter of 2024 is estimated at 35,000 units of materials. 60% of the total purchases of each quarter are estimated to be paid during the quarter while the balance will be paid in the next quarter. Accounts payable at the beginning of quarter 1 is P38,400. Amounts must be in whole numbers. Example: 88,000 or (88,000) 30,000 32,000 How much is the balance of the accounts payable at the end of quarter 3?

Shalom Company prepared its production plan for each quarter of 2023: Units 24,000 Quarter 1 2 3 4 42,000 Five units of materials are needed to produce each unit of product. Each unit of material costs PO.60. Shalom Company wants to maintain ending inventory at 25% of production requirements for the next quarter. Total materials needed for production of 28,000 units in the first quarter of 2024 is estimated at 35,000 units of materials. 60% of the total purchases of each quarter are estimated to be paid during the quarter while the balance will be paid in the next quarter. Accounts payable at the beginning of quarter 1 is P38,400. Amounts must be in whole numbers. Example: 88,000 or (88,000) 30,000 32,000 How much is the balance of the accounts payable at the end of quarter 3?

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter2: Basic Cost Management Concepts

Section: Chapter Questions

Problem 4CE: Refer to Cornerstone Exercises 2.2 and 2.3. Next year, Pietro expects to produce 50,000 units and...

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Refer to Cornerstone Exercises 2.2 and 2.3. Next year, Pietro expects to produce 50,000 units and sell 49,300 units at a price of 12.50 each. Beginning inventory of finished goods is 42,500, and ending inventory of finished goods is expected to be 34,000. Total selling expense is projected at 26,000, and total administrative expense is projected at 134,000. Required: 1. Prepare an income statement in good form. Be sure to include the percent of sales column. 2. What if the cost of goods sold percentage for the past few years was 65 percent? Explain how management might react.
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Shalom Company prepared its production plan for each quarter of 2023: Quarter Units 1 24,000 2 30,000 3 32,000 4 42,000 Five units of materials are needed to produce each unit of product. Each unit of material costs PO.60. Shalom Company wants to maintain ending inventory at 25% of production requirements for the next quarter. Total materials needed for production of 28,000 units in the first quarter of 2024 is estimated at 35,000 units of materials. 60% of the total purchases of each quarter are estimated to be paid during the quarter while the balance will be paid in the next quarter. Accounts payable at the beginning of quarter 1 is P38,400. Amounts must be in whole numbers. Example: 88,000 or (88,000) 1. How much was the total material purchases in the last quarter of 2022? 2. How much is the expected total cash payments for quarter 1 of 2023? 3. How much is the expected total cash payments for quarter 2 of 2023? Item 1 Item 2 Item 3 00
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