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Sales are 20 each. Twenty percent of sales is for cash, and the remainder is on account. The firm forecasts the collection of sales on
Sales are 20 each. Twenty percent of sales is for cash, and the remainder is on account. The firm forecasts the collection of sales on account to be 60% in the month of sale, with the remainder collected in the next month. Beginning receivables on January 1 is 40,000. If more customers use credit cards, causing cash sales to increase to 40% of total sales, by how much is cash increased in the second quarter, rounded to zero decimals?
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