Question :
51.Which of the following items will not appear a cash : 1257179
51.Which of the following items will not appear on a cash budget?
A. Expected cash collections
B. Expected cash payments
C. Expected credit sales
D. Financing activities
52.Dobson Company expects to begin operating on January 1. The company’s master budget contained the following operating expense budget: Sales commissions are paid in cash in the month following the month in which the expense is recognized. All other expense items requiring cash payment are paid in the month in which they are recognized. The amount of cash to be paid for operating expenses during the month of January is:
A. $53,600.
B. $51,800.
C. $77,600.
D. None of these.
53.Barnes Company expects to begin operating on January 1. The company’s master budget contained the following operating expense budget: Sales commissions are paid in cash in the month following the month in which the expense is recognized. All other expense items requiring cash payment are paid in the month in which they are recognized. The amount of accumulated depreciation appearing on the company’s March 31 pro forma balance sheet is:
A. $1,000.
B. $2,000.
C. $3,000.
D. $12,000.
54.Scranton Company expects to begin operating on July 1, 2014. The company’s master budget contained the following operating expense budget: Sales commissions are paid in cash in the month following the month in which the expense is recognized. All other expense items requiring cash payment are paid in the month in which they are recognized. The amount of commissions payable that would appear on the company’s September 30, 2012 pro forma balance sheet is:
A. $32,000.
B. $30,000.
C. $36,000.
D. $24,000.
55.Which of the following is not considered a pro forma financial statement?
A. Sales budget
B. Balance sheet
C. Cash flow statement
D. Income statement
56.With regards to financial statements, “pro forma” means:
A. Budgeted.
B. Prepared in advance.
C. Financial condition or position that can be expected if planning assumptions prove correct.
D. All of these answers are correct.
57.Budgeted sales commissions would appear on the:
A. selling, general and administrative budget and pro forma income statement
B. selling, general and administrative budget and pro forma balance sheet
C. sales budget and pro forma balance sheet
D. sales budget and pro forma income statement
58.Budgeted cash payments for inventory would appear on the:
A. inventory purchases budget and the pro forma income statement.
B. capital budget and pro forma statement of cash flows.
C. cash budget and pro forma balance sheet.
D. inventory purchases budget and pro forma statement of cash flows.
59.Which of the following accounts would appear on the inventory purchases budget and pro forma balance sheet?
A. Cost of goods sold
B. Sales revenue
C. Accounts receivable
D. Accounts payable
60.Which of the following accounts would appear on the sales budget and the pro forma income statement?
A. Selling and administrative expenses
B. Sales revenue
C. Accounts receivable
D. Both sales revenue and accounts receivable are correct
