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File Edit View History Bookmarks People Window Help op 40 ×/?Connec × e Secure https://newconnect.mheducation.com/flow/connect.html Free cr x-D Crystal × e Fundamx Fundan x G connec X Check my work mode : This shows what is correct or Incorrect for the work you have completed so far. It does not indicate completi Solomon Pointers Corporation expects to begin operations on January 1, 2019 it will operate as a specialty sales company that seils laser pointers over the Internet. Solomon expects sales in January 2019 to total $290,000 and to increase 15 percent per month in February and March. All sales are on account. Solomon expects to collect 67 percent of accounts recelvable in the month of sale, 24 percent in the month following the sale, and 9 percent in the second month following the sale Required a. Prepare a sales budget for the first quarter of 2019 b. Determine the amount of sales revenue Solomon will report on the first 2019 quarterly pro forma income statement. c. Prepare a cash receipts schedule for the first quarter of 2019 d. Determine the amount of accounts recelvable as of March 31, 2019 3 Answer is not complete. Complete this question by entering your answers in the tabs below Required A Required 8 Required C Required D Prepare a sales budget for the first quarter of 2019. Required B >

Explanation / Answer

Dear Student Thank you for using Chegg Please find below the answer Statementshowing Computations Paticulars January February March April Sales January = 290,000 February = 290,000*1.15 March = 333,500 * 1.15       290,000.00       333,500.00       383,525.00    1,007,025.00 b) Quarterly Sales = 290,000 + 333,500 + 383,525    1,007,025.00 c) Collection in Same month at 67%       194,300.00       223,445.00       256,961.75       674,706.75 Collection in next month at 24%          69,600.00          80,040.00       149,640.00 Collection in second month at 9%          26,100.00          26,100.00 Total Collection       194,300.00       293,045.00       363,101.75       850,446.75 d) Pendig AR of Feb Sales = 333,500*9%          30,015.00 Pendig AR of March Sales = 383,525*(24%+9%)       126,563.25 Total Account receivable as on 31 March       156,578.25

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