Shadee Corporation expects to sell 600 sun shades in May and 450 in June. Each shades sells for $11. Shadee's beginning and ending finished goods inventories for May are 70 and 40 shades, respectively. Ending finished goods inventory for June will be 60 shades. It expects the following unit sales for the third quarter: July 545 August 480 September460 Sixty percent of Shadee's sales are cash. Of the credit sales, 52 percent is collected in the month of the sale, 36 percent is collected during the following month, and 12 percent is never collected. Required: Calculate Shadee's total cash receipts for August and September. Note: Do not round your intermediate calculations. Round your answers to the nearest whole dollar. August September

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Shadee Corporation expects to sell 600 sun shades in May and 450 in June. Each
shades sells for $11. Shadee's beginning and ending finished goods inventories for May
are 70 and 40 shades, respectively. Ending finished goods inventory for June will be 60
shades.
It expects the following unit sales for the third quarter:
July
August
545
480
September460
Sixty percent of Shadee's sales are cash. Of the credit sales, 52 percent is collected in
the month of the sale, 36 percent is collected during the following month, and 12 percent
is never collected.
Required:
Calculate Shadee's total cash receipts for August and September.
Note: Do not round your intermediate calculations. Round your answers to the nearest
whole dollar.
Total Cash Receipts
August
September
Transcribed Image Text:Shadee Corporation expects to sell 600 sun shades in May and 450 in June. Each shades sells for $11. Shadee's beginning and ending finished goods inventories for May are 70 and 40 shades, respectively. Ending finished goods inventory for June will be 60 shades. It expects the following unit sales for the third quarter: July August 545 480 September460 Sixty percent of Shadee's sales are cash. Of the credit sales, 52 percent is collected in the month of the sale, 36 percent is collected during the following month, and 12 percent is never collected. Required: Calculate Shadee's total cash receipts for August and September. Note: Do not round your intermediate calculations. Round your answers to the nearest whole dollar. Total Cash Receipts August September
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