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The following tables show the sales and raw materials purchases budgets of Plooki Limited for the final quarter of 2021: Month Sales (units) Sales
The following tables show the sales and raw materials purchases budgets of Plooki Limited for the final quarter of 2021: Month Sales (units) Sales ($) Month Purchases (kg) Purchases ($) October 3,900 November 4,300 66,300 73,100 December 4,800 84,000 October November December 4,000 4,400 5,000 32,000 37,400 42,500 Plooki collects 39% of accounts receivable in the month of sale, 60% in the following month, and 1% are expected to go bad. Customers who pay within the first month of sale receive a 1% discount. Plooki settles 48% of its accounts payable in the month of purchase, and the remainder in the following month. Question 46 (2 marks): What is the total amount of cash expected to be received during November? Question 47 (2 marks): What is the total amount of cash expected to be paid for raw materials during November?
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To calculate the total amount of cash expected to be received during November we need to consider the sales made in October and November For sales mad...Get Instant Access to Expert-Tailored Solutions
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