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Please help in explaining how to calculate the Accounts Receivable on March 31st. Preparing a financial budget-schedule of cash receipts, sensitivity analysis Arm and Company
Please help in explaining how to calculate the Accounts Receivable on March 31st.
Preparing a financial budget-schedule of cash receipts, sensitivity analysis Arm and Company projects die following sales for die first three months of the year $10,600 in January; $12,300 in February; and $12,900 in March. The company expects 60% of the sales to be cash and the remainder on account. Sales on account are collected 50% in the month of the sale and 50% in the following month. The Accounts Receivable account has a zero balance on January 1. Round to the nearest dollar. Requirements Prepare a schedule of cash receipts for Armand for January, February, and March. What is the balance in Accounts Receivable on March 31Step by Step Solution
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