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Scottsdale Co. has actual sales for July and August and forecast sales for September, October, November, and December as follows: Actual: July $ 294,000 August
Scottsdale Co. has actual sales for July and August and forecast sales for September, October, November, and December as follows:
Actual: | |||
July | $ | 294,000 | |
August | 315,000 | ||
Forecast: | |||
September | 342,000 | ||
October | 282,000 | ||
November | 366,000 | ||
December | 321,000 | ||
Based on past experience, it is estimated that 40% of a months sales are collected in the month of sale, 50% are collected in the month following the sale, and 9% are collected in the second month following the sale.
Required:
Calculate the estimated cash receipts for September, October, and November.
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