Answer the Following Questions Using the Information Below:
the Following

question 92

Multiple Choice

Answer the following questions using the information below:
The following information pertains to Hepburn Company:
$$\begin{array} { l r r } \text { Month } & \text { Sales } & \text { Purchases } \\\text { January } & \$ 60,000 & \$ 32,000 \\\text { February } & \$ 80,000 & \$ 40,000 \\\text { March } & \$ 100,000 & \$ 56,000\end{array}$$ - Cash is collected from customers in the following manner:
Month of sale $\quad 30 \%$
Month following the sale $70 \%$
- $40 \%$ of purchases are paid for in cash in the month of purchase, and the balance is paid the following month.
- Labor costs are $20 \%$ of sales. Other operating costs are $\$ 30,000$ per month (including $\$ 8,000$ of depreciation) . Both of these are paid in the month incurred.
- The cash balance on March 1 is $\$ 8,000$ . A minimum cash balance of $\$ 6,000$ is required at the end of the month. Money can be borrowed in multiples of $\$ 1,000$ .
-What is the ending cash balance for March?

• A) ($50,000)
• B) $6,000
• C) $5,600
• D) $6,600

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Definitions:

External Networks

Connections and relationships an individual or organization maintains with external parties for gaining information, support, or resources.

Internal Networks

Connections and relationships within an organization that facilitate communication and collaboration among employees.

Information Flows

The movement of information within or between entities, crucial for effective communication, decision-making, and organizational functioning.

Irreplaceable

Describes someone or something so unique and valuable that they cannot be substituted or duplicated.