Joyner Company has the following historical collection pattern for its credit sales: 60% collected in month of sale 20% collected in the first month after sale 15% collected in the second month after sale 4% collected in the third month after sale 1% uncollectible Budgeted credit sales for the last six months of the year follow. July $49,000 August 54,000 September 59,000 October 64,000 November 69,000 December 61,500 Required: -A. Calculate the estimated total cash collections during October. B. Calculate the estimated total cash collections during the year's fourth quarter. A. Total cash collections during October B. Total cash collections during the year's fourth quarter
Joyner Company has the following historical collection pattern for its credit sales: 60% collected in month of sale 20% collected in the first month after sale 15% collected in the second month after sale 4% collected in the third month after sale 1% uncollectible Budgeted credit sales for the last six months of the year follow. July $49,000 August 54,000 September 59,000 October 64,000 November 69,000 December 61,500 Required: -A. Calculate the estimated total cash collections during October. B. Calculate the estimated total cash collections during the year's fourth quarter. A. Total cash collections during October B. Total cash collections during the year's fourth quarter
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
![Joyner Company has the following historical collection pattern for its credit sales:
60% collected in month of sale
20% collected in the first month after sale
15% collected in the second month after sale
4% collected in the third month after sale
1% uncollectible
Budgeted credit sales for the last six months of the year follow.
July
$49,000
August
54,000
September
59,000
October
64,000
November
69,000
December
61,500
Required:
-A. Calculate the estimated total cash collections during October.
B. Calculate the estimated total cash collections during the year's fourth quarter.
A. Total cash collections during October
B. Total cash collections during the year's fourth quarter](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F7ce317ab-738f-4f3a-bb24-a18a6d03412c%2Ff15a4093-1bab-4156-b248-61186f39c227%2F8d213lf_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Joyner Company has the following historical collection pattern for its credit sales:
60% collected in month of sale
20% collected in the first month after sale
15% collected in the second month after sale
4% collected in the third month after sale
1% uncollectible
Budgeted credit sales for the last six months of the year follow.
July
$49,000
August
54,000
September
59,000
October
64,000
November
69,000
December
61,500
Required:
-A. Calculate the estimated total cash collections during October.
B. Calculate the estimated total cash collections during the year's fourth quarter.
A. Total cash collections during October
B. Total cash collections during the year's fourth quarter
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