Verna makes all sales on..accounting questions Verna's makes all sales on account, subject to the following collection pattern: 30%are collected in the month of sale; 60% are collected in the first month after sale; and10% are collected in the second month after sales. If sales for October, November,and December were $73,000, $63,000, and $53,000, respectively, what was thebudgeted receivables balance on December 31?A. $37,100.B. $61,000.C. $43,400.D. $45,100.E. Some other amount

Step 1: Define Accounts ReceivableIn the context of accounting, some goods may be sold in cash and…

Answered: Verna's makes all sales on account,…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter7: Budgeting

Section: Chapter Questions

Problem 9PA: Fitbands estimated sales are: What are the balances in accounts receivable for January, February,...

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As of January 1 of the current year, Grayson Company had accounts receivable of $40,000. The sales for January, February, and March were $120,000, $140,000, and $150,000, respectively. Of each month's sales, 20% are for cash. Of the remaining 80% (the credit sales), 60% are collected in the month of sale, with the remaining 40% collected in the following month. What is the total cash collected (both from accounts receivable and for cash sales) in the month of January?
As of January 1 of the current year, Phyllis Company had accounts receivable of $50,000. The sales for January, February, and March were $120,000, $140,000, and $160,000, respectively. 20% of each month's sales are for cash. Of the remaining 80% (the credit sales), 60% are collected in the month of sale, with the remaining 40% collected in the following month. What is the total cash collected (both from accounts receivable and for cash sales) in the month of March? a.$153,600 b.$146,800 c.$142,800 d.$138,000
As of January 1 of the current year, the Grackle Company had accounts receivables of $50,000. The sales for January, February, and March were as follows: $120,000, $140,000, and $150,000, respectively. Of each month's sales, 20% are for cash. Of the remaining 80% (the credit sales), 60% are collected in the month of sale, with the remaining 40% collected in the following month. What is the total cash collected (both from accounts receivable and cash sales) in the month of March? a. $146,800 b. $102,000 c. $74,800 d. $116,800 Please don't provide answer in image format thank you

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