Question

Help with all of the red X’s please!! They are not 0!!!! I’ve already tried that.

Bombs Away Video Games Corporation has forecasted the following monthly sales: anuary $ 96,000 July 89,000 August 21,000 September 1,000 October 16,000 November 31,000 December S 41,000 41,000 51,000 81,000 101,000 119,000 Total annual sales $708,000 Bombs Away Video Games sells the popular Strafe and Capture video game. It sells for $5 per unit and costs $2 per unit to produce. A level production policy is followed. Each month's production is equal to annual sales (in units) divided by 12 Of each month's sales, 20 percent are for cash and 80 percent are on account. All accounts receivable are collected in the month ater the sale is made. a. Construct a monthly production and inventory schedule in units. Beginning inventory in January is 21,000 units Answer is complete and correct. Bombs Away Video Games Corporation Production and Inventory Schedule in Units BeginningProductionS Ending Sales Inventory 21,000 13,800 7,600 15,200 2,800 31,400 37,000 40,600 44,200 45,800 1,800 9,200 17,800 4,200 200 3,200 ,200 ,200 8.200 0,200 16,200 13,600 11,800 7,600 5,200 22,800 1,400 7,000 40,600 44.200 45,800 41,400 March 1,800 1,800 1,800 1800 11,800 11,800 11,800 11,800 May July September 8 4

Answer 1

d)

	January	February	March	April	May	June	July	August	September	October	November	December
Beginning cash	5000	39600	69600	80400	36600	5000	5000	5000	5000	5000	5000	5000
Net Cash flow	34600	30000	10800	(43600)	(44600)	(45600)	(31600)	(23600)	(21600)	(7600)	20400	40000
Cumulative cash Balance	39600	69600	80400	36800	(7800)	(40600)	(26600)	(18600)	(16600)	(2600)	25400	45000
Monthly Loan (or repayment)	0	0	0	0	12800	45600	31600	23600	21600	7600	(20400)	(40000)
Ending Cash Balance	39600	69600	80400	36800	5000	5000	5000	5000	5000	5000	5000	5000
Cumulative Loan Balance	0	0	0	0	12800	58400	90000	113600	135200	142800	122400	82400