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Assume that a company prepared the following sales budget: September October $ 600.000 $ 750,000 November December S B00,000 $ 900,000 5:34 The following information
Assume that a company prepared the following sales budget: September October $ 600.000 $ 750,000 November December S B00,000 $ 900,000 5:34 The following information is also available: Desired ending inventory is $20,000 plus 70% of the next month's cost of goods sold, Cost of goods sold averages 60% of sales. . Purchases are paid 30% in the current month and 70% in the next month Budgeted sales each month are 70% credit and 30% cash. 40% of credit customers pay in the current month, 50% pay in the first month after the sale, and 10% pay in the second month after the sale What are the expected cash collections from customers for November? Multiple Choice $648.500 $899.000
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