March, April, and May sales are $100,000, $120,000, and$125,000, respectively. 20% of sales are collected in the monthof sale; 50% are collected in the month following sale, and theremaining 30% are collected in the second month following sale.What is the amount of cash collections in May? Show steps usedin solving the problem.A. $118,500B. $25,000C. $60,000D. $115,000Taylor, Inc. had accounts receivable of $430,000 and an allowance fordoubtful accounts of $18,200 just before writing off as worthless anaccount receivable from Burton Company of $1,390.The net realizable value of the accounts receivable before and after thewrite-off was:A. $411,800 before and $411,800 after.B. $448,200 before and $446,810 after.C. $430,000 before and $428,610 after.D. $411,800 before and $410,410 after.Greene Sisters has a DSO of 15 days. The company's average daily sales are$30,000. Assume there are 365 days in a year. What is the level of its accountsreceivable?a. $400,000b. $222,650c. $10,950,000d. $450,000e. $730,000

Problem 1: Cash Collections in MayGiven:March sales: $100,000April sales: $120,000May sales:…

Answered: March, April, and May sales are…

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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A firm has projected sales in May, June, and July of $100, $200, and $300, respectively. The firm makes 20 percent of sales for cash and collects the balance one month following the sale. The firm's total cash receipts in July a. are $200.b. are $220.c. are $180.d. cannot be determined with the information provided.
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Cash collections for Wax On Candles found that 60% of sales were collected in the month of the sale, 30% was collected the month after the sale, and 10% was collected the second month after the sale. Given the following sales, how much cash will be collected in January and February? Nov. Dec. Jan. Feb. $25,000 $36,000 $19,000 $25,000 Jan. Feb. Cash collected %24 %24
Brooklyn Studio's sales are all made on account. The firm's collection experience has been that 27% of a month's sales are collected in the month the sale is made, 52% are collected in the month following the sale, and 19% are collected in the second month following the sale. The sales forecast for the months of September through December is as follows: September October November December $ 238,000 293,000 307,000 360,000 Required: Calculate the cash collections that would be included in the cash budgets for November and December. November December Cash Collections
Please help me with show all Calculation thanku
Current Attempt in Progress Swifty Industries expects credit sales for January, February, and March to be $176,000, $208,000, and $240,000, respectively. It is expected that 75% of the sales will be collected in the month of sale, and 25% will be collected in the following month. Compute cash collections from customers for each month. Credit Sales January February March $ January Collections from Customers February March
Reck Chocolates reports the following information from its sales budget: Expected Sales amount: July RM 97,000 August RM117,000 September RM127,000 Cash sales are normally 30% of total sales and all credit sales are expected to be collected in the month following the date of sale. The total amount of cash expected to be received from customers in September is: a.120,000. b.38,100. c.127,000. d.81,900. e.208,900.
5 At Lyman Company, past experience reveals that 10% of sales are for cash and the remaining 90% are on credit. Lyman Company expects to collect 30% of its credit sales in the month of sale, 50% in the month following sale, and 18% in the second month following sale. Which ONE of the following is part of the cash collections expected to be made in January? O Cash sales from the preceding December O Cash collections of credit sales from the preceding December O Cash collections of credit sales from the preceding September O Cash sales from the preceding November
Whispering Company has the following sales projections for its second and third quarters: Аpril $300,000 Мay $320,000 June $340,000 July $360,000 August $350,000 September $330,000 Normal cash collection experience has been that 40% of sales are collected during the month of sale, 20% in the month following sale, and 35% in the second month following sale. The remaining 5% of sales is never collected.
The management of Vuti has supplied the following sales amounts for the next five months: January February March April May R60 000 R75 000 R55 000 R65 000 R50 000 Additional information: • Off all sales 35% are cash sales based in value. • Of credit sales 50% is collected within the month of sales. Two-thirds of the credit sales collected within the month of sales receives 2% discount. A further 30% of credit sales is collected in the following month; and the remaining credit sales is collected in the month thereafter. Bad debts amounts to 3% of the credit sales. Required: Prepare a debtor's collection schedule that clearly shows how credit sales for the five months will be collected. NB: Round off calculations to two decimal places and the final amount to the nearest value.
You collect 75% of a month's sales in the month of the sale and 25% of sales in the following month. May sales June sales July sales O $105 O $35 $120 Compute cash inflows for June. $135 $140 $100 not enough information, because sales revenue differs
please answer within 30 minutes. Projected Cash Receipts,Romaris Brothers Inc. needs a cash receipts schedule for the months of April, May, and June. Actual Sales: February = $500,000, March = $500,000. Forecast Sales: April =$560,000, May= $610,000, June= $650,000, July= $650,000, Assuming that sales are the only source of cash inflows and that 30% of them are for cash and the remainder are collected evenly over the following 2 months. Prepare a schedule of projected cash receipts for April, May and June. Projected Cash Disbursements Romaris Brothers Inc. needs a cash disbursement schedule for the months of April, May, and June. The following information was collected from financial records: Purchases: Purchases are calculated as 50% of the next month’s sales, 15% of purchases are made in cash, 60% of purchases are paid for 1 month after purchase, and the remaining 25% of purchases are paid for 2 months after purchase. Rent: The firm pays rent of $9,000 per month. Wages and…

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