(Budgeted income; cash; accounts receivable) In preparing its budget for July, Dynamic Inc. has the following accounts receivable information available:

a. What is the projected balance of Accounts Receivable at July 31?

b. Which of these amounts (if any) will affect the cash budget?

c. Which of these amounts (if any) will affect the pro forma income state¬ ment for July?
(CPA adapted)LO.1 

Transcribed Image Text:

Accounts receivable at June 30 Estimated credit sales for July Estimated collections in July for credit sales in July and prior months Estimated write-offs in July for uncollectible credit sales Estimated provision for uncollectible accounts for credit sales in July $750,000 900,000 660,000 27,000 20,000