Question
Barlin Company collects its revenue from sales according to the following pattern: $Cash sales (% of Total Sales paid for in cash)10% Credit sales (%
Barlin Company collects its revenue from sales according to the following pattern:
$Cash sales (% of Total Sales paid for in cash)10%
Credit sales (% of Total Sales on credit):
90%% of credit sales collected during the month of sale30%% of credit sales collected during the month following the month of sale50%% of credit sales collected during the second month following the month of sale15%
If Sales Revenue was budgeted to be $30,000 in July, $50,000 in August and $35,000 in September, calculate the Accounts Receivable balance at the end of the third quarter.
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