Question
Madden Inc. has the following sales budget for the months indicated: January $250,000 February 200,000 March 230,000 April 220,000 Fixed Selling and Administrative 10 Collections
Madden Inc. has the following sales budget for the months indicated:
| January | $250,000 |
| February | 200,000 |
| March | 230,000 |
| April | 220,000 |
| Fixed Selling and Administrative | 10 |
Collections on account have been determined to follow the pattern below:
60% of sales collected in the month of sale
25% of sales collected in the month after the sale
12% of sales collected two months after the sale
3% of sales is uncollectible
Cash collections for April would be:
| a. | $219,800 | |
| b. | $226,400 | |
| c. | $214,800 | |
| d. | $213,500 |
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Agile Auditing Transforming The Internal Audit Process
Authors: Rick A. Wright Jr. CIA
1st Edition
1634540689, 978-1634540681
