Question
A. Elordi Engineers Corp. has the following budgeted sales data (in dollars): June July August September Credit Sales 290,000 300,000 270,000 310,000 Cash Sales 5,000
A. Elordi Engineers Corp. has the following budgeted sales data (in dollars):
| June | July | August | September | |
| Credit Sales | 290,000 | 300,000 | 270,000 | 310,000 |
| Cash Sales | 5,000 | 60,000 | 70,000 | 60,000 |
The regular pattern of collection of credit sales is 30% in the month of sale, 60% in the month following sale, and the remainder in the second month following the month of sale. There are no bad debts.
What would the budgeted accounts receivable balance be at the end of July?
Round your answer to the nearest whole number. (show answer clearly)
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Intermediate Financial Management
Authors: Eugene F Brigham, Phillip R Daves
14th Edition
0357516664, 978-0357516669
