1. ABM Company forecasts sales in units for January to May as follows: January 2,500, February 2,700, March 3,500, April 3,700 and May 3,500 2. ABM Company would like to maintain 100 units in its...

Extracted text: 1. ABM Company forecasts sales in units for January to May as follows: January 2,500, February 2,700, March 3,500, April 3,700 and May 3,500 2. ABM Company would like to maintain 100 units in its ending inventory at the end of each month. 3. Beginning inventory at the start of January is 50 units. 4. How many units should ABM Company produce in order to fulfill the expected sales of the company? MONTH FEB MARCH APRIL MAY TOTAL JAN Projected Sales Target level of ending inventories Total Less: beginning inventories Required production 5. assume selling price is PHP200/unit. 6. Sales for each month are expected to be collected as follows: • Month of sales : 20% A month after sales: 50% - 2 months after sales: 30% Note · On January Abm Company collected from previous month sales amounted to P100,000 MONTH FEB MARCH APRIL JAN MAY TOTAL Units Sales in Pesos Collection from current months sales Collection from previous months sales Collection from two months prior sales Total Collections from Sales 7. Cost of sales is 50% of sales 8. Operating expenses is 7% of sales 9. Rent payments: Rent of PHP5,000 will be paid each month. 10. Fixed salaries for the year are PHP96,000, or PHP8,000 per month. 11.Taxes of PHP25,000 must be paid in April. MONTH FEB MARCH APRIL JAN MAY ТОТAL Cost of Sales Cash Operating Expense Rent Expenses Salaries Expenses Taxes Expense Cash Disbursement 12. Prepare Cash budget at the back, the beginning cash balance on January is P30,000 and their expected cash balance raised to P 100,000 per month. 13 id fren ihe Cashi bidgat kalorniation evaliate if A9M COMPANY need to borrow money from short term financıng or need to invest their cash to short term investment.