Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Krazy Kanuck Company has all sales on account. The collection pattern is 45% collected in the month of sale; 40% collected in the month following

Krazy Kanuck Company has all sales on account. The collection pattern is 45% collected in the month of sale; 40% collected in the month following sale; 10% collected in the second month following sale; and 5% uncollectible. The June 30th account receivables amount of $25,000 will be collected in full in July. Determine the total cash collected in the entire quarter ending September 30.

July 30,000 units; August 20,000 units; September 25,000 units and October 40,000 units. The selling price is $20 per unit.

a. $1,160.000 b. $950,000 c. $1,500,000 d. $1,200,000

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Auditing Trust And Governance Developing Regulation In Europe

Authors: Reiner Quick, Stuart Turley, Marleen Willekens

1st Edition

0415448905, 9780415448901

More Books

Students also viewed these Accounting questions

Question

politeness and modesty, as well as indirectness;

Answered: 1 week ago