The following is the sales budget for Harp. Inc., for the first quarter of 2015:

Question

The following is the sales budget for Harp. Inc., for the first quarter of 2015: Credit sales are collected as follows: 60 percent in the month of the sale 30 percent in the month after the sale 10 percent in the second month after the sale The accounts receivable balance at the end of the previous quarter was $83,000 ($53,000 of which was uncollected December sales). Calculate the sales for November. Calculate the sales for December. Calculate the cash collections from sales for each month from January through March.

Explanation / Answer

Nov Dec January February March Sales Budget 330000 132500 199000 219000 242000 Cash Collections Same month 119400 131400 145200 30% 66250 59700 65700 10% 36666.67 22083.33 21900 Total Cash 222316.7 213183.3 232800 Op Balance 33000 53000 36666.67 88333.33

Related Questions

Navigate

• Browse (All)
• Browse T
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.