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Question: Prepare the schedule of expected cash collections for the year, showing the months and total figures
Rosalind Apparel (M) Sdn Bhd manufactures and sells t-shirts that has peak sales in the third month. The following information concerns operations for Year 2019. The company's single product sells for RM15 per piece. Budgeted sales in pieces for the next four months are as follos (all sales are on credit): MONTH Year 2019 ('000) Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Budgeted sales 60 80 120 75 65 60 93 78 88 85 90 75 (pieces) Sales are collected in the following patterns: o 75% in the month the sales are made 25% in the following month On 1 January 2019, the company's balance sheet showed RM 85,000 in the accounts receivables, all of which will be collected in the first month of the year. Bad debts are negligible and can be ignoredStep by Step Solution
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