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eBook Question Content Area Cash Receipts Budget and Accounts Receivable Aging Schedule Shalimar Company manufactures and sells industrial products. For next year, Shalimar has budgeted
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Question Content Area
Cash Receipts Budget and Accounts Receivable Aging Schedule
Shalimar Company manufactures and sells industrial products. For next year, Shalimar has budgeted the following sales:
Quarter $
Quarter
Quarter
Quarter
In Shalimar's experience, percent of sales are paid in cash. Of the sales on account, percent are collected in the quarter of sale, percent are collected in the quarter following the sale, and percent are collected in the second quarter after the sale. The remaining percent are never collected. Total sales for the third quarter of the current year are $ and for the fourth quarter of the current year are $
Required:
Question Content Area
Calculate cash sales and credit sales expected in the last two quarters of the current year, and in each quarter of next year.
Quarter Cash Sales Credit Sales
current year $fill in the blank cfff
$fill in the blank cfff
current year fill in the blank cfff
fill in the blank cfff
next year fill in the blank cfff
fill in the blank cfff
next year fill in the blank cfff
fill in the blank cfff
next year fill in the blank cfff
fill in the blank cfff
next year fill in the blank cfff
fill in the blank cfff
Question Content Area
Construct a cash receipts budget for Shalimar Company for each quarter of the next year, showing the cash sales and the cash collections from credit sales. If an amount is zero, enter
Shalimar Company
Cash Receipts Budget
For the Coming Year
Quarter Quarter Quarter Quarter
Cash sales $fill in the blank fecfc
$fill in the blank fecfc
$fill in the blank fecfc
$fill in the blank fecfc
Received on account from:
Quarter current year fill in the blank fecfc
Quarter current year fill in the blank fecfc
fill in the blank fecfc
Quarter next year fill in the blank fecfc
fill in the blank fecfc
fill in the blank fecfc
Quarter next year fill in the blank fecfc
fill in the blank fecfc
fill in the blank fecfc
Quarter next year fill in the blank fecfc
fill in the blank fecfc
Quarter next year fill in the blank fecfc
fill in the blank fecfc
fill in the blank fecfc
fill in the blank fecfc
Total cash receipts $fill in the blank fecfc
$fill in the blank fecfc
$fill in the blank fecfc
$fill in the blank fecfc
Question Content Area
What if the recession led Shalimar's top management to assume that in the next year percent of credit sales would never be collected? The expected payment percentages in the quarter of sale and the quarter after sale are assumed to be the same. How would that affect cash received in each quarter? Construct a revised cash budget using the new assumption.
Shalimar Company
Cash Receipts Budget
For the Coming Year
Quarter Quarter Quarter Quarter
Cash sales $fill in the blank fbffeefb
$fill in the blank fbffeefb
$fill in the blank fbffeefb
$fill in the blank fbffeefb
Received on account from:
Quarter current year fill in the blank fbffeefb
Quarter next year fill in the blank fbffeefb
fill in the blank fbffeefb
Quarter next year fill in the blank fbffeefb
fill in the blank fbffeefb
Quarter next year fill in the blank fbffeefb
fill in the blank fbffeefb
Quarter next year fill in the blank fbffeefb
Total cash receipts $fill in the blank fbffeefb
$fill in the blank fbffeefb
$fill in the blank fbffeefb
$fill in the blank fbffeefbConstruct a cash receipts budget for Shalimar Company for each quarter of the next year, showing the cash sales and the cash collections from credit sales. If an amount is
zero, enter
Shalimar Company
Cash Receipts Budget
For the Coming Year
Quarter Quarter Quarter Quarter
Cash sales
$
$
$
$
Received on account from:
Quarter current year
Quarter current year
Quarter next year
Quarter next year
Quarter next year
Quarter next year
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