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eBook Question Content Area Schedule of cash collections of accounts receivable OfficeMart Inc. has cash and carry customers and credit customers. OfficeMart estimates that 3
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Question Content Area
Schedule of cash collections of accounts receivable
OfficeMart Inc. has "cash and carry" customers and credit customers. OfficeMart estimates that of monthly sales are to cash customers, while the remaining sales are to credit customers. Of the credit customers, pay their accounts in the month of sale, while the remaining pay their accounts in the month following the month of sale. Projected sales for the next three months are as follows:
Month Amount
October $
November
December
The Accounts Receivable balance on September was $
Prepare a schedule of cash collections from sales for October, November, and December. Round all calculations to the nearest whole dollar.
OfficeMart Inc.
Schedule of Cash Collections from Sales
For the Three Months Ending December
Line Item Description October November December
Receipts from cash sales:
Cash sales $Cash sales
$Cash sales
$Cash sales
September sales on account:
Collected in October Collected in October
October sales on account:
Collected in October Collected in October
Collected in November Collected in November
November sales on account:
Collected in November Collected in November
Collected in December Collected in December
December sales on account:
Collected in December Collected in December
Total cash receipts $Total cash receipts
$Total cash receipts
$Total cash receipts
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