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Bahjat Oman Company produces and sells scientific calculators. The budgeted selling price per unit is $15. Budgeted unit sales in the first half of the year 2021 is as follows: January 18,000 units, February 14,000, March 28,000, April 42,000, May 35,000 and June 32,000 units. The company's credit policy is to collect 25% of the total sales in the month of sale, and 60% in the month following the sale, and the remaining in the second month following sale. The expected total cash collections in dollars in June is closest to:

Bahjat Oman Company produces and sells scientific calculators. The budgeted selling price per unit is $15. Budgeted unit sales in the first half of the year 2021 is as follows: January 18,000 units, February 14,000, March 28,000, April 42,000, May 35,000 and June 32,000 units. The company's credit policy is to collect 25% of the total sales in the month of sale, and 60% in the month following the sale, and the remaining in the second month following sale. The expected total cash collections in dollars in June is closest to:

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Bahjat Oman Company produces and sells scientific calculators. The budgeted selling price per unit is $15. Budgeted unit sales in the first half of the year 2021 is as follows: January 18,000 units, February 14,000, March 28,000, April 42,000, May 35,000 and June 32,000 units. The company's credit policy is to collect 25% of the total sales in the month of sale, and 60% in the month following the sale, and the remaining in the second month following sale. The expected total cash collections in dollars in June is closest to: O a. $572,250 O b. None of the given answers Oc. $271,500 d. $441,000 O e. $529,500
Transcribed Image Text:Bahjat Oman Company produces and sells scientific calculators. The budgeted selling price per unit is $15. Budgeted unit sales in the first half of the year 2021 is as follows: January 18,000 units, February 14,000, March 28,000, April 42,000, May 35,000 and June 32,000 units. The company's credit policy is to collect 25% of the total sales in the month of sale, and 60% in the month following the sale, and the remaining in the second month following sale. The expected total cash collections in dollars in June is closest to: O a. $572,250 O b. None of the given answers Oc. $271,500 d. $441,000 O e. $529,500
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