January February March April May June oration had the following budgeted sales for the first half of the current year: Cash Sales Credit Sales $60,000 $160,000 $65,000 $180,000 $44,000 $39,000 $49,000 $90,000 $140,000 $124,000 Collections on sales: 50% in month of sale 45% in month following sale 5% in second month following sale $210,000 $180,000 The company is in the process of preparing a cash budget and must determine the expected cash collections by month. To this end, the followe information has been assembled: The accounts receivable balance on January 1 of the current year was $74,000, of which $50,000 represents uncollected December sales an $24,000 represents uncollected November sales. The total cash collected during January by LaGrange Corporation would be:

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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$274,000
$233,000
$100,000
$209,000
Transcribed Image Text:Multiple Choice $274,000 $233,000 $100,000 $209,000
The LaGrange Corporation had the following budgeted sales for the first half of the current year.
Cash Sales Credit Sales
$60,000
$65,000
January
February
March
April
May
June
$44,000
$39,000
$49,000
$90,000
$160,000
$180,000
$140,000
$124,000
$210,000
$180,000
Collections on sales:
50% in month of sale
45% in month following sale
5% in second month following sale
Help Save & Exit
The company is in the process of preparing a cash budget and must determine the expected cash collections by month. To this end, the following
information has been assembled:
The accounts receivable balance on January 1 of the current year was $74,000, of which $50,000 represents uncollected December sales and
$24,000 represents uncollected November sales.
The total cash collected during January by LaGrange Corporation would be:
Transcribed Image Text:The LaGrange Corporation had the following budgeted sales for the first half of the current year. Cash Sales Credit Sales $60,000 $65,000 January February March April May June $44,000 $39,000 $49,000 $90,000 $160,000 $180,000 $140,000 $124,000 $210,000 $180,000 Collections on sales: 50% in month of sale 45% in month following sale 5% in second month following sale Help Save & Exit The company is in the process of preparing a cash budget and must determine the expected cash collections by month. To this end, the following information has been assembled: The accounts receivable balance on January 1 of the current year was $74,000, of which $50,000 represents uncollected December sales and $24,000 represents uncollected November sales. The total cash collected during January by LaGrange Corporation would be:
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