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Category > Business & Finance Posted 24 May 2017 My Price 7.00

The company predicts that 5 percent of its credit sales will never be collected

The company predicts that 5 percent of its credit sales will never be collected, 35 percent of its sales will be collected in the month of the sale, and the remaining 60 percent will be collected in the following month. Credit purchases will be paid in the month following the purchase. In March 2010, credit sales were $382,500, and credit purchases were $207,000. Using this information, complete the following cash budget:

 

 

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Alpha Geek
(8)
Status NEW Posted 24 May 2017 07:05 AM My Price 7.00

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file 1495609600-Answer.docx preview (163 words )
----------- Th-----------e c-----------omp-----------any----------- pr-----------edi-----------cts----------- th-----------at -----------5 p-----------erc-----------ent----------- of----------- it-----------s c-----------red-----------it -----------sal-----------es -----------wil-----------l n-----------eve-----------r b-----------e c-----------oll-----------ect-----------ed,----------- 35----------- pe-----------rce-----------nt -----------of -----------its----------- sa-----------les----------- wi-----------ll -----------be -----------col-----------lec-----------ted----------- in----------- th-----------e m-----------ont-----------h o-----------f t-----------he -----------sal-----------e, -----------and----------- th-----------e r-----------ema-----------ini-----------ng -----------60 -----------per-----------cen-----------t w-----------ill----------- be----------- co-----------lle-----------cte-----------d i-----------n t-----------he -----------fol-----------low-----------ing----------- mo-----------nth-----------. C-----------red-----------it -----------pur-----------cha-----------ses----------- wi-----------ll -----------be -----------pai-----------d i-----------n t-----------he -----------mon-----------th -----------fol-----------low-----------ing----------- th-----------e p-----------urc-----------has-----------e. -----------In -----------Mar-----------ch -----------201-----------0, -----------cre-----------dit----------- sa-----------les----------- we-----------re -----------$38-----------2,5-----------00,----------- an-----------d c-----------red-----------it -----------pur-----------cha-----------ses----------- we-----------re -----------$20-----------7,0-----------00.----------- Us-----------ing----------- th-----------is -----------inf-----------orm-----------ati-----------on,----------- co-----------mpl-----------ete----------- th-----------e f-----------oll-----------owi-----------ng -----------cas-----------h b-----------udg-----------et:-----------
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