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Gammaro Corporation has found that 7 0 % of its sales in any given month are credit sales, while the remainder are cash sales. Of
Gammaro Corporation has found that of its sales in any given month are credit sales, while the remainder are cash sales. Of the credit sales, Gammaro Corporation has experienced the following collection pattern:
received in the month of the sale
received in the month after the sale
received two months after the sale
of the credit sales are never received
November sales for last year were $ while December sales were $ Projected sales for the next three months are as follows:
tableJanuary sales,dotsdots.$February sales,dotsdots.$March sales,dotsdotsdots$$
Requirement
Prepare a cash collections budget for the first quarter, with a column for each month and for the quarter. Round your answers to the nearest whole dollar.
Gammaro Corporation
Cash Collections Budget
For the Months of January through March
tableJanuaryCash sales,Collections on credit sales:, Month of sale, Month after, Two months after,Total cash collections,
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