Berman Company Is Preparing Its Budget for the Third Quarter

question 16

Multiple Choice

Berman Company is preparing its budget for the third quarter. Cash balance on July 31 was $34,000. Assume there is no minimum balance of cash required and no borrowing is undertaken. Additional budgeted data are provided here: $$\begin{array} { | l | r | r | r | } \hline & { \text { July } } &{ \text { Aug } } & { \text { Sep } } \\\hline \text { Cash collections } & \$ 53,000 & \$ 53,000 & \$ 54,000 \\\hline \text { Cash payments } & & & \\\hline \text { Purchases of direct materials } & 25,000 & 26,000 & 21,000 \\\hline \text { Operating expenses } & 34,000 & 26,000 & 30,000 \\\hline \text { Capital expenditures } & 12,000 & 13,000 & 11,000 \\\hline\end{array}$$ Calculate the projected balance of cash at the end of August.

• A) $31,000
• B) $118,000
• C) $35,000
• D) $22,000

Comprehend the priority and relevance of course of dealing, usage of trade, express terms, and course of performance in contract interpretation.

Analyze how integrated contracts limit the admissibility of external evidence.

Identify situations where the Uniform Electronic Transactions Act (UETA) and Electronic Signatures in Global and National Commerce Act (E-Sign) apply.

Explain exceptions to the enforcement of oral contracts under the statute of frauds.

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Definitions:

Cost Of Software

The total expenses involved in the acquisition, development, upgrade, and maintenance of software, including licensing fees and operational costs.

Coding Software

Tools and applications designed to create, test, and maintain computer code and programs.

Copyright

A grant from a governmental authority that provides the creator of intellectual property with ownership of it for a specified period of time, currently the life of the creator plus 70 years.

Open System

Refers to a computing system that provides an environment which supports applications and services that are interoperable and can be easily integrated into other systems.