Fruity Juice Company: Prepare the sales and cash collections budgets
Not what you're looking for?
Fruity Juice Company plans to sell 800,000 bottles of its best-selling fruit juice blend during the first quarter of 2005 at a price of $12 per bottle. Budgeted sales for the first four months of 2005 are:
January ........................................ 200,000 bottles
February ...................................... 250,000 bottles
March .......................................... 350,000 bottles
April ................................. ................. 400,000 bottles
Fruity Juice has the following collection policy:
Cash Collections
Current Month 20%
One Month After Sale 50%
Two Months After Sale 25%
5% is written off at the end of the second month
Prepare the sales and cash collections budgets for Fruity Juice for April only using the space provided on the answer sheet. You MUST show complete supporting computations to earn credit for your answer.
Purchase this Solution
Solution Summary
The revised solution presents the budgets in Excel format.
Solution Preview
The solution to your above posted problem is provided herewith in a separately attached excel file. I have presented the solution in the following parts.
1 Sales Budget for four months from Jan to April. Complete four months figures are worked out so as to enable you to understand all calculations in a sequence.
2 ...
Purchase this Solution
Free BrainMass Quizzes
Organizational Behavior (OB)
The organizational behavior (OB) quiz will help you better understand organizational behavior through the lens of managers including workforce diversity.
Situational Leadership
This quiz will help you better understand Situational Leadership and its theories.
Managing the Older Worker
This quiz will let you know some of the basics of dealing with older workers. This is increasingly important for managers and human resource workers as many countries are facing an increase in older people in the workforce
Learning Lean
This quiz will help you understand the basic concepts of Lean.
Understanding Management
This quiz will help you understand the dimensions of employee diversity as well as how to manage a culturally diverse workforce.