problem #1 of 6
| Problem 2-The Budget | |||||
| Part 1-Cash Budget | |||||
| 97% of sales are credit sales. Accounts Receivable are collected at 35% of sales | |||||
| the month of sale, 40% the following month, and 25% the third month. | |||||
| Sales for January: | $475,000 | ||||
| Sales for February: | 525,000 | ||||
| Sales for March | 532,000 | ||||
| Sales for April | 516,000 | ||||
| Prepare cash collections for March and April | |||||
| From sales in | Total | % Collected | March | April | |
| January | |||||
| February | |||||
| March | |||||
| April | |||||
| Total Collected |
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