The budget director of Heather's Florist has prepared the following sales budget. The company had $360,000 in accounts receivable on July 1. Heather's Florist normally collects 100 percent of accounts receivable in the month following the month of sale. Required a. Complete the schedule of cash receipts by filling in the missing amounts. b. Determine the amount of accounts receivable the company will report on its third quarter pro forma balance sheet. Complete this question by entering your answers in the tabs below. Required A Required B Complete the schedule of cash receipts by filling in the missing amounts. July August September Sales Budget Cash sales $ 78,000 $ 68,000 $ 81,000 Sales on account 80,000 106,000 123,600 Total budgeted sales $ 158,000 $ 174,000 $ 204,600 Schedule of Cash Receipts Current cash sales Plus: Collections from accounts receivable Total budgeted collections $ 438,000 $ 148,000 $ 187,000

The budget director of Heather's Florist has prepared the following sales budget. The company had $360,000 in accounts receivable on July 1. Heather's Florist normally collects 100 percent of accounts receivable in the month following the month of sale. Required a. Complete the schedule of cash receipts by filling in the missing amounts. b. Determine the amount of accounts receivable the company will report on its third quarter pro forma balance sheet. Complete this question by entering your answers in the tabs below. Required A Required B Complete the schedule of cash receipts by filling in the missing amounts. July August September Sales Budget Cash sales $ 78,000 $ 68,000 $ 81,000 Sales on account 80,000 106,000 123,600 Total budgeted sales $ 158,000 $ 174,000 $ 204,600 Schedule of Cash Receipts Current cash sales Plus: Collections from accounts receivable Total budgeted collections $ 438,000 $ 148,000 $ 187,000

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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Hillyard Company, an office supplies specialty store, prepares its master budget on a quarterly basis. The following data have been assembled to assist in preparing the master budget for the first quarter: As of December 31 (the end of the prior quarter), the company’s general ledger showed the following account balances: Cash $ 64,000 Accounts receivable 219,200 Inventory 61,350 Buildings and equipment (net) 374,000 Accounts payable $ 92,325 Common stock 500,000 Retained earnings 126,225 $ 718,550 $ 718,550 Actual sales for December and budgeted sales for the next four months are as follows: December(actual) $ 274,000 January $ 409,000 February $ 606,000 March $ 321,000 April $ 217,000 Sales are 20% for cash and 80% on credit. All payments on credit sales are collected in the month following sale. The accounts receivable at December 31 are a result of December credit sales. The company’s gross margin is…
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Hillyard Company, an office supplies specialty store, prepares its master budget on a quarterly basis. The following data have been assembled to assist in preparing the master budget for the first quarter: As of December 31 (the end of the prior quarter), the company’s general ledger showed the following account balances: Cash $ 40,000 Accounts receivable 200,000 Inventory 57,750 Buildings and equipment (net) 350,000 Accounts payable $ 85,125 Common stock 500,000 Retained earnings 62,625 $ 647,750 $ 647,750 Actual sales for December and budgeted sales for the next four months are as follows: December(actual) $ 250,000 January $ 385,000 February $ 582,000 March $ 296,000 April $ 193,000 Sales are 20% for cash and 80% on credit. All payments on credit sales are collected in the month following sale. The accounts receivable at December 31 are a result of December credit sales. The company’s gross margin is…
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