The LaGrange Corporation had the following budgeted sales for the first half of the current year:Cash Sales Credit Sales$50,000$55,000JanuaryFebruaryMarchAprilMayJune$34,000$29,000$39,000$80,000Collections on sales:40% in month of sale$150,000$170,000$130,000The company is in the process of preparing a cash budget and must determine the expected cash collections by month. To this end, the followinginformation has been assembled:30% in month following sale30% in second month following sale$114,000$200,000$80,000The accounts receivable balance on January 1 of the current year was $65,000, of which $54,000 represents uncollected December sales and $11,000represents uncollected November sales.The total cash collected during January by LaGrange Corporation would be: Multiple Choice$237,000$196,000$90,000$148,000

The cash collection schedule is prepared to estimate the amount of cash collected during the period.

LaGrange Corporation had the following budgeted sales for the first half of the current year: Cash Sales Credit Sales $50,000 $55,000 nuary bruary rch pril ay une $34,000 $29,000 $39,000 $80,000 $150,000 $170,000 $130,000 $114,000 $200,000 $80,000 company is in the process of preparing a cash budget and must determine the expected cash collections by month. To this end, the following rmation has been assembled: lections on sales: 6 in month of sale 6 in month following sale in second month following sale e accounts receivable balance on January 1 of the current year was $65,000, of which $54,000 represents uncollected December sales and $11,000 presents uncollected November sales. e total cash collected during January by LaGrange Corporation would be:

LaGrange Corporation had the following budgeted sales for the first half of the current year: Cash Sales Credit Sales $50,000 $55,000 nuary bruary rch pril ay une $34,000 $29,000 $39,000 $80,000 $150,000 $170,000 $130,000 $114,000 $200,000 $80,000 company is in the process of preparing a cash budget and must determine the expected cash collections by month. To this end, the following rmation has been assembled: lections on sales: 6 in month of sale 6 in month following sale in second month following sale e accounts receivable balance on January 1 of the current year was $65,000, of which $54,000 represents uncollected December sales and $11,000 presents uncollected November sales. e 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

Problem 1Q

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