Carter Lumber Sells Lumber and General Building Supplies to Building

question 111

Multiple Choice

Carter Lumber sells lumber and general building supplies to building contractors in a medium-sized town in Montana. Data regarding the store's operations follow: o Sales are budgeted at $380,000 for November, $390,000 for December, and $400,000 for January.
O Collections are expected to be 70% in the month of sale, 27% in the month following the sale, and 3% uncollectible.
O The cost of goods sold is 65% of sales.
O The company desires to have an ending merchandise inventory equal to 80% of the following month's cost of goods sold. Payment for merchandise is made in the month following the purchase.
O Other monthly expenses to be paid in cash are $22,000.
O Monthly depreciation is $20,000.
O Ignore taxes. Accounts payable at the end of December would be:

• A)$253,500
• B)$50,700
• C)$208,000
• D)$258,700

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Definitions:

Supportive Style

A manner of interaction that provides encouragement, feedback, and assistance in a positive way.

Emotive

Related to or provoking strong feelings, emotions, or responses.

Communication Style

The manner in which individuals express themselves and interpret messages from others, influenced by cultural, personal, and situational factors.

Communication Style Bias

The tendency to favor or be prejudiced against certain communication styles over others, often leading to misunderstandings or conflict.