Light Up Corporation manufactures and sells two types of decorative lamps, Knox and Ayer. The following data are available for the year 2020. (Click the icon to view the additional information.) All sales are made on account with 70% of sales made in a quarter collected in the same quarter and 30% collected in the following quarter. Calculate the cash collected from receivables in each of the 4 quarters of 2020. (If an input field is not used in the table, leave the input field empty; do not enter a zero.) Accounts receivable balance on 1-1-2020 (Fourth-quarter sales from prior year) From first-quarter 2020 sales From second-quarter 2020 sales From third-quarter 2020 sales From fourth-quarter 2020 sales Schedule of Cash Collections Total collections 1 2 Quarters 3 4
Light Up Corporation manufactures and sells two types of decorative lamps, Knox and Ayer. The following data are available for the year 2020. (Click the icon to view the additional information.) All sales are made on account with 70% of sales made in a quarter collected in the same quarter and 30% collected in the following quarter. Calculate the cash collected from receivables in each of the 4 quarters of 2020. (If an input field is not used in the table, leave the input field empty; do not enter a zero.) Accounts receivable balance on 1-1-2020 (Fourth-quarter sales from prior year) From first-quarter 2020 sales From second-quarter 2020 sales From third-quarter 2020 sales From fourth-quarter 2020 sales Schedule of Cash Collections Total collections 1 2 Quarters 3 4
Chapter9: Accounting For Receivables
Section: Chapter Questions
Problem 10EA: Millennial Manufacturing has net credit sales for 2018 in the amount of $1,433,630, beginning...
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![Light Up Corporation manufactures and sells two types of decorative lamps, Knox and Ayer. The following data are available for the
year 2020.
(Click the icon to view the additional information.)
All sales are made on account with 70% of sales made in a quarter collected in the same quarter and 30% collected in the following
quarter.
Calculate the cash collected from receivables in each of the 4 quarters of 2020. (If an input field is not used in the table, leave the input
field empty; do not enter a zero.)
Schedule of Cash Collections
Accounts receivable balance on 1-1-2020
(Fourth-quarter sales from prior year)
From first-quarter 2020 sales
From second-quarter 2020 sales
From third-quarter 2020 sales
From fourth-quarter 2020 sales
Total collections
1
2
Quarters
3
4](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F54a4597e-3d99-4c20-8113-3401a2a6115b%2Fe2c64094-5d40-4662-a457-846ed48ea2a9%2F4lfbfrb_processed.png&w=3840&q=75)
Transcribed Image Text:Light Up Corporation manufactures and sells two types of decorative lamps, Knox and Ayer. The following data are available for the
year 2020.
(Click the icon to view the additional information.)
All sales are made on account with 70% of sales made in a quarter collected in the same quarter and 30% collected in the following
quarter.
Calculate the cash collected from receivables in each of the 4 quarters of 2020. (If an input field is not used in the table, leave the input
field empty; do not enter a zero.)
Schedule of Cash Collections
Accounts receivable balance on 1-1-2020
(Fourth-quarter sales from prior year)
From first-quarter 2020 sales
From second-quarter 2020 sales
From third-quarter 2020 sales
From fourth-quarter 2020 sales
Total collections
1
2
Quarters
3
4
![Data table
Accounts receivable (January 1, 2020)
Budgeted sales in Quarter 1 (January 1 to March 31, 2020)
Budgeted sales in Quarter 2 (April 1 to June 30, 2020)
Budgeted sales in Quarter 3 (July 1 to September 30, 2020)
Budgeted sales in Quarter 4 (October 1 to December 31, 2020)
47,000
230,000
240,000
190,000
250,000](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F54a4597e-3d99-4c20-8113-3401a2a6115b%2Fe2c64094-5d40-4662-a457-846ed48ea2a9%2F9bpw3c_processed.png&w=3840&q=75)
Transcribed Image Text:Data table
Accounts receivable (January 1, 2020)
Budgeted sales in Quarter 1 (January 1 to March 31, 2020)
Budgeted sales in Quarter 2 (April 1 to June 30, 2020)
Budgeted sales in Quarter 3 (July 1 to September 30, 2020)
Budgeted sales in Quarter 4 (October 1 to December 31, 2020)
47,000
230,000
240,000
190,000
250,000
Expert Solution
![](/static/compass_v2/shared-icons/check-mark.png)
Explanation -
Budgeting -
Budgeting is the process of estimating future operations based on past performance. % are estimated and collections are estimated based on past performance.
Budgeting helps to control the operations from getting excess over its budgeted figures.
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