Air corporation has the following projected sales: P958,450.00 (October) P1,001,515.00 (November) P1,200,000.00 (December). Air corporation collects 50% of the month's sales in the month of sales, 35% in the month following sale, and 15% in the second month following the sale. What would be the cash collection in December? A) P143,767.50 B P2,294,298.00 P1,837,730.00 P2,201,515.00
Air corporation has the following projected sales: P958,450.00 (October) P1,001,515.00 (November) P1,200,000.00 (December). Air corporation collects 50% of the month's sales in the month of sales, 35% in the month following sale, and 15% in the second month following the sale. What would be the cash collection in December? A) P143,767.50 B P2,294,298.00 P1,837,730.00 P2,201,515.00
Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter21: Supply Chains And Working Capital Management
Section: Chapter Questions
Problem 3MC
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![Air corporation has the following projected sales:
P958,450.00 (October)
P1,001,515.00 (November)
P1,200,000.00 (December).
Air corporation collects 50% of the month's sales in the month of sales, 35% in the month following sale, and 15% in the second
month following the sale.
What would be the cash collection in December?
A) P143,767.50
B) P2,294,298.00
P1,837,730.00
P2,201,515.00](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F57cf519e-36e9-4c87-ae74-b97db8fe6de7%2F0ba1cbcd-b301-420e-b788-c17b31f7d769%2Fvcybpqa_processed.png&w=3840&q=75)
Transcribed Image Text:Air corporation has the following projected sales:
P958,450.00 (October)
P1,001,515.00 (November)
P1,200,000.00 (December).
Air corporation collects 50% of the month's sales in the month of sales, 35% in the month following sale, and 15% in the second
month following the sale.
What would be the cash collection in December?
A) P143,767.50
B) P2,294,298.00
P1,837,730.00
P2,201,515.00
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