Question
Monette Corporation Cash Collections Budget For the Months of January through March Monette Corporation has found that 60% of its sales any given month are
Monette Corporation Cash Collections Budget For the Months of January through March
Monette Corporation has found that 60% of its sales any given month are credit sales, while the remainder are cash sales. Of the November sales for last year were $95,000, while December sales were Sl 10,000. Projected sales for the next three months are credit sales, Monette Corporation has experienced the following collection pattern: January sales.... ..... ..... 25% received in the month of the sale February sales 50% received in the month after the sale March sales 16% received two months after the sale 9% of the credit sales are never received 130,120 as follows: Requirement s s 160 ,ooo 115,000 165,000 Prepare a cash collections budget for the first quarter, Vith a column for each month and for the quarter (Round your answers to the nearest whole dollar.) Monette Corporation Cash Collections Budget For the Months of January through March January February Cash sales Collections on credit sales: 25% Month of sale 50% Month after 16% Two months after Total cash collections s s 64,000 s 46,000 24,000 33,000 9,120 48,000 10,560 124560
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