1.2 FS08 ANZILAH DEDA

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Solution 1A: Georgian Bakery: NRG-B Bar =$1.60 The credit limit is $12,000 The account receivable balance is $9,250 The current order Product and Quantity for NRG-B are 1152 bars * $1.60 = $1843.2 The total commitment for Georgian bakery is $9250 + $1843.2 = $11093.2 Total commitment < credit limit Hence, the credit will be granted to the Georgian bakery order. Solution 1B: NRG-A Bar =$1.50 The current order Product and Quantity for NRG-A are 576 bars * $1.50 = $864 The total commitment for Georgian bakery is the account receivable + product and quantity of NRG-A and NRG-B bars = $9250 + $1843.2 + $864 = $11957.2 Total commitment < credit limit Although after using the data for NRG-A and NRG-B the revised total commitments can be granted to the Georgian bakery order. Solution 2A: PMK's Corporation : NRG-A Bar =$1.50 The credit limit is $9,000 The account receivable balance is $6000 The current order Product and Quantity for NRG-A are 1440 bars * $1.50 = $2160 The total commitment for PMK's is $6000 + $2160 = $8160 Total commitment < credit limit Hence, the credit will be granted to the PMK's order. Solution 2B: NRG-B Bar =$1.60 The current order Product and Quantity for NRG-B are 864 bars* $1.60 = $1382.4 The total commitment for PMK's is the account receivable + product and quantity of NRG-A and NRG-B bars = $6000 + $2160 + $1382.4 = $9542.4 Total commitment > credit limit Hence, the total combined data for PMK Corporation can't be granted. Solution 3A: Cookies Inc. NRG-A Bar =$1.50
The credit limit is $10,000 The account receivable balance is $5000 The current order Product and Quantity for NRG-A are 3600 bars * $1.50 = $5400 The total commitment for PMK's is $5000 + $5400 = $10400 Total commitment > credit limit Hence, the credit can't be granted to the Cookies Inc. order. Solution 3B: Check received = $2800 Account receivable balance after check = $5000 - $2800 = 2200 Total commitment after the check received = $2200 + $5400 = $7600 Therefore, the total commitment is less than the credit limit. Hence, the total combined data for Cookies Inc. can be granted.
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