Brief Exercise 21-9

Kaspar Industries expects credit sales for January, February, and March to be $201,000, $261,000, and $311,000, respectively. It is expected that 75% of the sales will be collected in the month of sale, and 25% will be collected in the following month.

Compute cash collections from customers for each month.

Collections from Customers

Credit Sales

January

February

March

January$

$

$

February

March

$

$

$