Smith Company was organized on August 1 of the current year. Projected sales for the next three months are:   August $250,000 September  200,000 October  275,000   The company expects to sell 50% of its merchandise for cash and 50% for sales on account. Of the sales on account, 30% are expected to be collected in the month of the sale and the remainder in the following month.   Prepare a schedule indicating cash collections from cash and accounts receivable for the three months.

Q: Prepare a schedule of cash receipts from sales for April, May, and June.

A: To prepare a schedule of cash receipts from sales for April, May, and June, we need to consider the…

Q: Here is a forecast of sales by National Bromide for the first four months of 2022 (figures in $…

A: The cash inflow calculation include calculating credit sales and cash sale .The total sales is…

Q: Jasper Company has 62% of its sales on credit and 38% for cash. All credit sales are collected in…

A: April May June  Cash sales 38%  $196,460  $200,260 $209,760   Sales on…

Q: Schedule of Cash Collections of Accounts Receivable Pet Supplies Inc., a pet wholesale supplier, was…

A: Budgeting: It is a process to prepare the financial statement by the manager to estimate the…

Q: May $310,000 June 400,000 July 510,000 All sales are on account. 54 percent of sales are expected to…

A: The cash budget is prepared by the management to estimate the cash receipt, cash expenses, and cash…

Q: Bark & Purr Supplies Inc., a pet wholesale supplier, was organized on May 1. Projected sales for…

A: Budget means the expected value of future. Budget is not affected by the actual value as it is…

Q: Vaughn Industries expects credit sales for January, February, and March to be $268,400, $317,200,…

A: Given, 75% of credit sales collected in month of sale 25% of credit sales will be collected in the…

Q: Mercurius forecasts the following sales figures for the next four months. June July August…

A: The companies usually provide the goods or render services to the customer to earn profit. The…

Q: Assume that your credit sales for March was $16,288,for April was $33,301 and May was $29,261. If…

A: The cash budget is prepared to know the estimated cash receipt and cash expenses. it helps in the…

Q: Schedule of Cash Collections of Accounts Receivable Pet Supplies Inc., a pet wholesale supplier, was…

A: The budget is prepared to estimate the requirements during the period. The cash collection schedule…

Q: Johnson Corporation has the following sales forecasts for the first three months of the current…

A: Computation of the cash balance at the end of January:Cash balance, January 1$25,000Add: Cash…

Q: Furry Friends Supplies Inc., a pet wholesale supplier, was organized on May 1. Projected sales for…

A: The Schedule of Collections from Sales is made below:

Q: Crane Industries expects credit sales for January, February, and March to be $281,600, $332,800, and…

A: Step 1: Calculate Cash Collections for Each MonthJanuary:Collected in January (75% of January sales)…

Q: Jasper Company has 63% of its sales on credit and 37% for cash. All credit sales are collected in…

A: Lets understand the basics.Management prepares budget in order to estimate future profit and loss…

Q: chedule of Cash Collections from Sales or the Three Months Ending December 31 October November…

A: Schedule of cash collections shows the cash receipts and cash inflows from different customers.…

Q: the attachement to answer the following Cash outflows in March for purchases will be: a) $240…

A: Gross margin is very important in the business and gross margins can be obtained by deduction of…

Q: Eastern Auto Parts Incorporated has 20 percent of its sales paid for in cash and 80 percent on…

A: Cash receipts schedule are those schedule how much cash we collected in a particular months or…

Q: Graham Potato Company has projected sales of $10,200 in September, $13,500 in October, $20.200 in…

A: Cash budget is used to estimate cash inflows (cash receipts) and cash outflows (cash payments) of a…

Q: Neon Inc.’s forecast sales for July is $72,000. It has $15,000 in accounts receivable at the end of…

A: The objective of this question is to calculate the amount of accounts receivable at the end of July…

Q: Jasper Company has 60% of its sales on credit and 40% for cash. All credit sales are collected in…

A: Cash collection budget :— This budget is prepared to estimate the collection of sales from customers…

Q: Schedule of Cash Payments Shakti Power Inc. was organized on February 28. Projected selling and…

A: SOLUTION-   BUDGETING IS THE PROCESS OF CREATING A PLAN TO SPEND YOUR MONEY.   WORKING NOTE- MARCH…

Q: At the end of September a company has cash balance of $800, trade receivables of $12000 and trade…

A: CASH BUDGET Cash Budget is a detailed budget of cash income and cash expenditure incorporating both…

Q: Jasper Company has 59% of its sales on credit and 41% for cash. All credit sales are collected in…

A: Cash Budget: Cash Budget is prepared to analysis the cash transaction or cash flow of business.…

Q: Schedule of Cash Collections of Accounts Receivable Pet Stop Inc., a pet wholesale supplier, was…

A: Answer:   May   320,000 May sales on account   Collected in May 192,000 Collected in June…

Q: March 45,000 85% of sales are collected in the month of the sale and the remainder is collected in…

A: particulars  amount $ Cash balance $     25,000.00 add:customer collection  $58,950…

Q: Schedule of Cash Collections of Accounts Receivable Bark & Purr Supplies Inc., a pet wholesale…

A: Sales means the amount recorded in books as revenue earned by selling the goods or services. Account…

Q: schedule indicating cash payments for selling and administrative expenses

A: Schedule of Cash Payment for Selling and Administrative Expenses means a table containing cash…

Q: J.TOY Inc., was organized on August 1 of the current year. Projected sales for the next three months…

A: There are three conditions of cash collection:    Cash sales is 40% of total sales and 60% on…

Q: Here is a forecast of sales by National Bromide for the first four months of 2019 (figures in $…

A: As per the given information:     Month 1 Month 2 Month 3 Month 4   Cash sales 17 26 20 16…

Q: Graham Company projects the following sales for the first three months of the year: $10,600 in…

A: The cash collection schedule is prepared to estimate the amount of cash to be collected from…

Q: Schedule of Cash Collections of Accounts Receivable OfficeMart Inc. has "cash and carry" customers…

A: A cash sale is a sale where the consideration(money) is received immediately for the goods sold or…

Q: How do I prepare a schedule of cash collected from customers for the quarter ended March 31, 20X1?

A: Cash collected from customer is the amount received from sale made to customer through both cash and…

Q: Jasper Company has 70% of its sales on credit and 30% for cash. All credit sales are collected in…

A: The cash budget is part of the master budget and it shows estimated cash inflow and cash outflow…

Q: Pet Supplies Inc., a pet wholesale supplier, was organized on January 1. Projected sales for each of…

A: Cash collection budget includes the estimated amount of cash received from the Accounts receivable.…

Q: Jasper Company has 61% of its sales on credit and 39% for cash. All credit sales are collected in…

A: Budgets are the estimates or forecasts for future period and expressed in quantitative form of…

Q: Pacific Place has developed the following sales forecast for the following months.   Month…

A: Introduction Cash budget: Cash budget is an estimate of cash receipts and cash payments for a future…

Q: Cast of Cash sales Sales on credit Month 1 16 110 Month 2 Month 3 Month 4 25 130 19 100 15 80 On…

A: When cash sales are made , Cash inflows arise immediately. However , whenever credit sales are made…

Q: The company began business on January 1 of the current year. The first quarter sales are estimated…

A: Formula: Amount to be collected in March = January month sale collected in March month + February…

Q: Eastern Auto Parts Inc. has 20 percent of its sales paid for in cash and 80 percent on credit. All…

A: Solution:- Cash receipt budget is the budget prepared to forecast the upcoming cash receipts by the…

Conversion Cycle

Conversion cycle is also known as cash cycle or net operating cycle. Conversion cycle refers to how much time a company takes to turn its investments which is done from stock or any other financial resources into cash flows from sales.