ABC Corporation has two divisions-Women and Mr

Subject:AccountingPrice:2.84 Bought4

Share With

ABC Corporation has two divisions-Women and Mr. The division have the flow Sales Variable costs Traceable and costs Allocated common corporate costs Notice (ous) We $ 100.000 40,000 30,000 27,000 $ 3.000 Me $ 110.000 57.000 36.000 36.000 5 (17,000) The management of ABC is considering the elimination of the Men Division Mes De were illuminated, its traceable fixed costs could be avoided. Total common corporate costs will be unaffected by this decision Required 1- Should the Company drop the Men division? Explain in light of the effect of your decree on the company's profitability. Support you wer with the many callation) 2. Will your decision be changed if you know that all traceable fixed costs to Medicould be avoided and 40% of total common corporate cost signed to Me division would be affected by this decision Support you are with the necessary calliona ( (12 marks) B- ABC Corporation is a manufacturing Company. The following formations of 2021: 1. The company's simple product sells for $8 per unit. Budget mit sales for the set fortes are as follows all sales are os credit: Quarter Quarter 2 Quarter 3 Quarter 4 Budapeted unit sales 40.000 60,000 100,000 50.000 2. Sales are collected in the following pattern: 70% in the quarter the sales are made and then 30% in the following quarter. On January 1, 2021, the company's balance sheet showed $75,000 in accounts receivable, all of which will be collected in the first quarter of the year. Bad debts are negligible and can be ignored Regwired 1- Prepare the sales budget for the 2021 2. Prepare the expected cash collections schedule for 2021. 3- What is the expected accounts receivable balance on December 31, 2017 (13 marks) C The following information has been take from a manufacturing company for the year 2020: Sales Teens $74.000 inventory of raw materials: January 1, 2020, 5.000 inventory of raw materials; December 31, 2020, 6,000 inventory of work in progress; January 1, 2020, 8.000 inventory of work in progress; December 31, 2020, 7.000 B124 THE Final (V1) Page 4 of 5 Fall 2020/2021 inventory of finished goods; January 1, 2020, inventory of finished goods: December 31, 2020 Sales cost of poods produced Trade discount allowed Cash discount allowed Salanes Expense 6,000 4,000 1.500 56,000 2500 2.000 10,000 Required: Calculate cost of poods sold and press profit for the year ended December 31, 2020