Luna Electronics is preparing its cash budget and expects to have sales of $90,000 in April, $80,000 in May, and $85,000 in June. If 25% of sales are for cash, 35% are credit sales paid in the month after the sale, and another 40% are credit sales paid 2 months after the sale, what are the expected cash receipts for June?

Luna Electronics is preparing its cash budget and expects to have sales of $90,000 in April, $80,000 in May, and $85,000 in June. If 25% of sales are for cash, 35% are credit sales paid in the month after the sale, and another 40% are credit sales paid 2 months after the sale, what are the expected cash receipts for June?

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter8: Budgeting For Planning And Control

Section: Chapter Questions

Problem 34E: A companys sales for the coming months are as follows: About 20 percent of sales are cash sales, and...

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