3. 5.

Calculating cash collections [LO 18.3] The Morning Jolt Coffee Company has projected the following quarterly sales amounts for the coming year:

Q1 Q2 Q3 Q4 Sales $850 $880 $960 $1 040 1. Accounts receivable at the beginning of the year are $365. The company has a 45-day collection period. Calculate cash collections in each of the four quarters by completing the following:

Beginning receivables Sales Cash collections Ending receivables 1.
2. Rework

(a) assuming a collection period of 60 days.
3. Rework

(a) assuming a collection period of 30 days.

Transcribed Image Text:

Q1 Q2 Q3 Q4