Reference no: EM13894362
The following information related to the proposed budget for KASEE Ltd for the months ending 30 June 2014.
Material Production Administration Month Purchases Wages
Sales Overheads Overheads
Sh. '000' Sh. '000' Sh. '000' Sh. '000' Sh. '000'
January 72000 25000 10000 6000 5500
February 97000 31000 12100 6300 6700
March 86000 25500 10600 6000 7500
April 88600 30600 25000 6500 8900
May 102500 37000 22000 8000 11000
June 108700 38800 23000 18200 11500
1. Depreciation expenses are expected to be 0.5%of sales.
2. Expected cash balance in hand on 1 January 2014 is Sh. 72,500,000
3. 50% of total sales are cash sales
4. Assets are to be acquired in the months of February and April at Sh. 8,000,000 and Sh. 25,000,000 respectively
5. An application has been made to the bank for the grant of a loan of Sh. 30,000,00 and it is hoped that it will be received in the month of May
6. It is anticipated that a dividend of Sh. 35,000,000 will be paid in June
7. Debtors are allowed one month's credit
8. Creditors, production Overheads and administration overheads are paid after one month
9. Sales commission at 3% on sales is paid to the salesmen each month 10. All purchases are on credit
Required: A cash budget for the six months ending 30 June 2014
|
Calculate the firms sales and ROA
: Grossman Enterprises has an equity multiplier of 3.08 times, total assets of $1,596,000, an ROE of 15.10 percent, and a total asset turnover ratio of 3.15 times. Calculate the firm’s sales and ROA.
|
|
What does perfect competition mean
: What does "perfect competition" mean? State a few of the underlying assumptions. Explain in words why the demand curve a firm faces in a perfectly competitive market is horizontal.
|
|
Do you believe stock repurchases helped the stock price
: Pick a public company of your choosing that has been buying back its own shares in at least three of the past five years. Who is the company and how many shares did they repurchase in each of those years? Do you believe the stock repurchases helped t..
|
|
Write about a sophisticated computer or network
: The goal of the Final Project is to research and write about a sophisticated computer/network intrusion set/event(s) that have occurred in the recent past, of which I will give you three options. The details on the intrusion set and the attack of ..
|
|
Depreciation expenses are expected to be 0.5%of sales
: Depreciation expenses are expected to be 0.5%of sales.
|
|
The present value of the depreciation tax shield
: Your firm is considering a project that would require purchasing $7.1 million worth of new equipment. Determine the present value of the depreciation tax shield associated with this equipment if the firm's tax rate is 36%, the appropriate cost of cap..
|
|
What the short-run average cost
: In the short run, capital is a fixed cost. Draw, for a few different values of K, what the short-run average cost, SRAC, looks like in relation to the long-run average cost.
|
|
Both bond-percentage change in price
: Both Bond Sam and Bond Dave have 10 percent coupons, make semiannual payments, and are priced at par value. Bond Sam has three years to maturity, whereas Bond Dave has 18 years to maturity. Percentage change in price of Bond Dave?
|
|
Designing a database for an antique store
: Consider designing a database for an antique store. What entities would you include? What would their attributes be?
|