Question
Month Total Sales January $15,000 February $16,000 March $18,000 April $14,000 On average, 50% of the total sales are cash sales which will be collected
Month
Total Sales
January
$15,000
February
$16,000
March
$18,000
April
$14,000
On average, 50% of the total sales are cash sales which will be collected in the month of sale, and the remaining are credit sales. Collections from credit sales are 60% in the month following the sale, 40% two months following the sale.
How much cash is expected to be collected in April?
(a)$15,600.
(b) $13,200.
(c)$8,600.
(d) $12,400.
which one is right
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Using Microsoft Excel and Access 2016 for Accounting
Authors: Glenn Owen
5th edition
1337109048, 1337109045, 1337342149, 9781337342148 , 978-1337109048
