Bonita Industries reported the following information for 2022: October November December Budgeted sales $1340000 $1150000 $1410000 All sales are on credit. Accounts receivable are collected 50% in the month of sale and 50% in the following month. What are budgeted cash receipts for November?
Master Budget
A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.
Sales Budget and Selling
A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.
Bonita Industries reported the following information for 2022:
|
October
|
November
|
December
|
|
|---|---|---|---|
|
Budgeted sales
|
$1340000 | $1150000 | $1410000 |
- All sales are on credit.
Accounts receivable are collected 50% in the month of sale and 50% in the following month.
What are budgeted cash receipts for November?
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