Question
Crowe Company expects the following total sales: MONTH SALES MARCH $30,000 APRIL $20,000 MAY $30,000 JUNE $25,000 The company expects 70% of its sales to
Crowe Company expects the following total sales:
| MONTH | SALES |
| MARCH | $30,000 |
| APRIL | $20,000 |
| MAY | $30,000 |
| JUNE | $25,000 |
The company expects 70% of its sales to be credit sales and 30% for cash. Credit sales are collected as follows: 25% in the month of sale, 72% in the month following the sale with the remainder being uncollectible and written off in the month following the sale. The budgeted accounts receivable balance on May 31 is
MAKE SURE TO SHOW ALL WORK
A. $14,350
B. $15,750
C. $20,550
D. $22,500
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Authors: Tom Litton, Poppy Behrens, Erica Shatzer, George Bernal
1st Edition
0977157814, 978-0977157815
