Question
FRANCORP is preparing budgets for the quarter ending March 31. Budgeted sales for the next 5 months are as follows January 19500 units February 22700
FRANCORP is preparing budgets for the quarter ending March 31. Budgeted sales for the next 5 months are as follows
January
19500 units
February
22700 units
March
24100 units
April
25000 units
May
24700 units
The selling price per unit is $15. Assume all sales are on account. This means that all sales ARE NOT CASH SALES. They are waiting for their customers to pay. FRANCORP'S collection pattern is:
40%in the month of sale
50%in the month following sale
10% in the second month following sale
Determine the total cush collection for the month of February.
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Financial Management
Authors: P V V Satyanarayana
1st Edition
9350568012, 9789350568019
