Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Schedule of Cash Collections on Accounts Receivable and Cash Budget Bennett Inc. found that about 35% of its sales during the month were for cash.

image text in transcribedimage text in transcribedimage text in transcribed

Schedule of Cash Collections on Accounts Receivable and Cash Budget Bennett Inc. found that about 35% 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 1. Calculate credit sales for May. Calculate credit sales for June. Calculate credit sales for July. $ Calculate credit sales for August. 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 Payments on account: From May credit sales: $ X % From June credit sales: $ % $ % From July credit sales: I II DI I II % $ % From August credit sales: $ % Cash receipts

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Sound Investing, Chapter 7 - Cash Versus Accrual

Authors: Kate Mooney

1st Edition

0071719296, 9780071719292

More Books

Students also viewed these Accounting questions

Question

Obscene speech is not protected.

Answered: 1 week ago

Question

=+c) Do you find evidence of a seasonal effect? Explain.

Answered: 1 week ago