Bonkowski Corporation Makes One Product and Has Provided the Following

question 132

Multiple Choice

Bonkowski Corporation makes one product and has provided the following information to help prepare the master budget for the next four months of operations: Credit sales are collected:
30% in the month of the sale
70% in the following month
Raw materials purchases are paid:
30% in the month of purchase
70% in the following month
The ending finished goods inventory should equal 30% of the following month's sales. The ending raw materials inventory should equal 10% of the following month's raw materials production needs.
If the budgeted cost of raw materials purchases in February is $50,152, then the budgeted accounts payable balance at the end of February is closest to:

• A) $19,971
• B) $50,152
• C) $15,046
• D) $35,106

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Definitions:

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A crucial part in the wheel's hub assembly, allowing for smooth rotation of the wheel around the axle and minimizing friction.

Periodic Topping

The practice of regularly adding a small amount of fluid to keep a system’s level within operational limits, such as in hydraulic systems or batteries.

Spacer Ring

A mechanical component used to maintain a specified distance between two parts, often found in machinery or engineering applications.

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