Pet Supplies Inc., a pet wholesale supplier, was organized on January 1. Projected sales for each of the first three months of operations are as follows: January $160,000 February 240,000 March 340,000 All sales are on account. 58% of sales are expected to be collected in the month of the sale, 37% in the month following the sale, and the remainder in the second month following the sale. Prepare a schedule indicating cash collections from sales for January, February, and March. Pet Supplies Inc. Schedule of Cash Collections from Sales For the Three Months Ending March 31 January February March January sales on account: Collected in January $ Collected in February $ Collected in March $ February sales on account: Collected in February Collected in March March sales on account: Collected in March Total cash collected $ $ $
Pet Supplies Inc., a pet wholesale supplier, was organized on January 1. Projected sales for each of the first three months of operations are as follows: January $160,000 February 240,000 March 340,000 All sales are on account. 58% of sales are expected to be collected in the month of the sale, 37% in the month following the sale, and the remainder in the second month following the sale. Prepare a schedule indicating cash collections from sales for January, February, and March. Pet Supplies Inc. Schedule of Cash Collections from Sales For the Three Months Ending March 31 January February March January sales on account: Collected in January $ Collected in February $ Collected in March $ February sales on account: Collected in February Collected in March March sales on account: Collected in March Total cash collected $ $ $
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Schedule of Cash Collections of
Pet Supplies Inc., a pet wholesale supplier, was organized on January 1. Projected sales for each of the first three months of operations are as follows:
| January | $160,000 |
| February | 240,000 |
| March | 340,000 |
All sales are on account. 58% of sales are expected to be collected in the month of the sale, 37% in the month following the sale, and the remainder in the second month following the sale.
Prepare a schedule indicating cash collections from sales for January, February, and March.
| Pet Supplies Inc. | |||
| Schedule of Cash Collections from Sales | |||
| For the Three Months Ending March 31 | |||
| January | February | March | |
| January sales on account: | |||
| Collected in January | $ | ||
| Collected in February | $ | ||
| Collected in March | $ | ||
| February sales on account: | |||
| Collected in February | |||
| Collected in March | |||
| March sales on account: | |||
| Collected in March | |||
| Total cash collected | $ | $ | $ |
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