Question
Schedule of Cash Collections on Accounts Receivable and Cash Budget Bennett Inc. found that about 40% of its sales during the month were for cash.
Schedule of Cash Collections on Accounts Receivable and Cash Budget
Bennett Inc. found that about 40% of its sales during the month were for cash. Bennett has the following accounts receivable payment experience:
Percent paid in the month of sale | 25 | ||
Percent paid in the month after the sale | 68 | ||
Percent paid in the second month after the sale | 5 |
Bennett's anticipated sales for the next few months are as follows:
April | $250,000 | ||
May | 290,000 | ||
June | 280,000 | ||
July | 295,000 | ||
August | 300,000 |
Required:
1. Calculate credit sales for May. $fill in the blank 582e33fddff0002_1
Calculate credit sales for June. $fill in the blank 582e33fddff0002_2
Calculate credit sales for July. $fill in the blank 582e33fddff0002_3
Calculate credit sales for August. $fill in the blank 582e33fddff0002_4
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2. Prepare a schedule of cash receipts for July and August. Round your answers to the nearest whole dollar, if necessary. If an amount box does not require an entry, leave it blank or enter "0". Be sure to enter percentages as whole numbers.
Bennett Inc. Schedule of Cash Receipts For July and August | ||||||
July | August | |||||
Cash sales | $fill in the blank 597f21fab039fe4_1 | $fill in the blank 597f21fab039fe4_2 | ||||
Payments on account: | ||||||
From May credit sales: | ||||||
$fill in the blank 597f21fab039fe4_3 fill in the blank 597f21fab039fe4_4 % | fill in the blank 597f21fab039fe4_5 | fill in the blank 597f21fab039fe4_6 | ||||
From June credit sales: | ||||||
$fill in the blank 597f21fab039fe4_7 fill in the blank 597f21fab039fe4_8 % | fill in the blank 597f21fab039fe4_9 | |||||
$fill in the blank 597f21fab039fe4_10 fill in the blank 597f21fab039fe4_11 % | fill in the blank 597f21fab039fe4_12 | |||||
From July credit sales: | ||||||
$fill in the blank 597f21fab039fe4_13 fill in the blank 597f21fab039fe4_14 % | fill in the blank 597f21fab039fe4_15 | |||||
$fill in the blank 597f21fab039fe4_16 fill in the blank 597f21fab039fe4_17 % | fill in the blank 597f21fab039fe4_18 | |||||
From August credit sales: | ||||||
$fill in the blank 597f21fab039fe4_19 fill in the blank 597f21fab039fe4_20 % | fill in the blank 597f21fab039fe4_21 | fill in the blank 597f21fab039fe4_22 | ||||
Cash receipts | $fill in the blank 597f21fab039fe4_23 | $fill in the blank 597f21fab039fe4_24 |
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