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Please explain/write down all the calculations for the questions. Failure to do so, will get a down-vote. Thanks! Information pertaining to Brenton Corporation's sales revenue
Please explain/write down all the calculations for the questions. Failure to do so, will get a down-vote. Thanks!
Information pertaining to Brenton Corporation's sales revenue is presented in the following table. February March April Cash sales $160,000 $150,000 $120,000 Credit sales 300,000 400,000 280,000 Total sales $460,000 $550,000 $400,000 Management estimates that 5 percent of credit sales are not collectible. Of the credit sales that are collectible, 60 percent are collected in the month of sale and the remainder in the month following the sale. Cost of purchases of inventory each month is 70 percent of the next month's projected total sales. All purchases of inventory are on account; 25 percent are paid in the month of purchase, and the remainder is paid in the month following the purchase. Brenton's budgeted total cash receipts in April are Brenton's budgeted total cash payments in March for inventory purchases areStep by Step Solution
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