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Mason Company projects the following sales for the first three months of the year: $16,700 in January $12,200 in February; and $10,400 in March. The
Mason Company projects the following sales for the first three months of the year: $16,700 in January $12,200 in February; and $10,400 in March. The company expects 60% of the sales to be cash and the remainder on account. Sales on account are collected 50% in the month of the sale and 50% in the following month. The Accounts Receivable account has a zero balance on January 1. Round to the nearest dollar.
Prepare a revised schedule of cash receipts if receipts from sales on account are 60% in the month of the sale, 25% in the month following the sale, and 15%in the second month following the sale. What is the balance in Accounts Receivable on March 31?
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