Question
Oakton Furniture provided the following information relevant to its sales for December Year 1 and the first quarter of Year 2: December Year 1 (Actual)
Oakton Furniture provided the following information relevant to its sales for December Year 1 and the first quarter of Year 2:
| December Year 1 (Actual) | January Year 2 (Budgeted) | February Year 2 (Budgeted) | March Year 2 (Budgeted) | |
|---|---|---|---|---|
| Credit sales | $ 62,000 | $ 142,000 | $ 157,000 | $ 112,000 |
| Cash sales | $ 12,000 | $ 27,000 | $ 32,000 | $ 14,000 |
Based on the company's collection history, 42% of credit sales are collected in month of sale and the remainder is collected in the following month. Total budgeted cash receipts in February are expected to be:
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Modern Auditing
Authors: William C Boynton, Raymond N Johnson
8th Edition
0471230111, 978-0471230113
