Shown below is the sales forecast for Waverly, Inc. for the first four months of the coming year. Cash sales ...... Credit sales Jan $15,000 $100,000 Feb $24,000 $120,000 Mar $18,000 $90,000 Apr $14,000 $70,000 On average, 60% of credit sales are paid for in the month of the sale and 40% in the month following sale. Assuming there are no bad debts, the expected cash inflow in April is:
Shown below is the sales forecast for Waverly, Inc. for the first four months of the coming year. Cash sales ...... Credit sales Jan $15,000 $100,000 Feb $24,000 $120,000 Mar $18,000 $90,000 Apr $14,000 $70,000 On average, 60% of credit sales are paid for in the month of the sale and 40% in the month following sale. Assuming there are no bad debts, the expected cash inflow in April is:
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Shown below is the sales forecast for Waverly, Inc. for the first four months of the coming year.
Apr
$14,000
$70,000
Cash sales
Credit sales......
Jan
$15,000
$100,000
Feb
$24,000
$120,000
Numeric Response
Mar
$18,000
$90,000
On average, 60% of credit sales are paid for in the month of the sale and 40% in the month following sale. Assuming
there are no bad debts, the expected cash inflow in April is:
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