The accounts receivable balance at the end of the previous quarter was $102,000
ID: 2651533 • Letter: T
Question
The accounts receivable balance at the end of the previous quarter was $102,000 ($83,600 of which was uncollected December sales).
Compute the sales for November. (Do not round intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).)
Compute the sales for December. (Do not round intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).)
Compute the cash collections from sales for each month from January through March. (Do not round intermediate calculations. Round your answers to 2 decimal places (e.g., 32.16).)
The following is the sales budget for Segura, Inc., for the first quarter of 2013:Explanation / Answer
Collection Details :
60%
In the month of Sales
30%
Month After the sales
10%
Second Month After the sales
Accounts Receivable at the end of Qtr = 102000
Uncollected December Sales = 83600
Uncollected November Sales = 102000 – 83600 = 18400
Sales of November = 184000 as 10% of Uncollected receivable will go next year and 10% of 184000 is $ 18400.
Sales for December = 83600/40% = 209000
Working Note :
60%
In the month of Sales
30%
Month After the sales
10%
Second Month After the sales
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