Moorcroft Company's budgeted sales and direct materials purchases are as follows: Budgeted Sales Budgeted D.M. Purchases April $295,000 $44,000 May 294,000 52,000 June 355,000 61,000 Moorcraft's sales are 40% cash and 60% credit Credit sales are collected 20% in the month of sale, 50% in the month following sale and 26% in the second month following sale:4% are uncollectible Moorcroft's purchases are 50% cash and 50% on account Purchases on account are paid 40% in the month following the purchase and 60% in the second month following the purchase a Your Answer Correct Answer Your answer is partially correct Prepare a schedule of expected collections from customers for June Moorcroft Company Schedule of Expected Collections from Customers April May Sales June 295000 153400 88500 46020 294000 152880 88200 355000 1114600 153400 241380 184600 Tit (b) Your answer is correct Prepare a schedule of expected payments for direct materials for June. Moorcroft Company Schedule of Expected Payment for Direct Materials Purchases April May June 44000 $ 22000 $ 8800 $ 03200 52000 26000 10.100 61000 1 30500 22000 $ 34800 54100 7 e Textbook and Media Attempts: 1 of 3 used C () Moorcroft's assistant controller suggested that Moorcroft hire a part time collector to encourage customers to pay more promptly and to reduce the amount of uncollectible accounts. Sales are still 40% cash and 60% credit but the assistant controller predicted that this would cause credit sales to be collected 30% in the month of the sale 50% in the month following sale, and 18% in the second month following sale: 2% are uncollectible Prepare a schedule of expected collections from customers for June. How did these changes impact cash collections? Moorcroft Company Schedule of Expected Collections from Customers Sales April May June $ $ $ . Would it be worth paying the collector $1.000 per month? It worth paying the collector $1,000 per month to improve the cash collections of the company e Textbook and Media Save for later Attempts: 0 of 3 used Submit Answer Idil