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Shadee Corp. expects to sell 550 sun visors in May and 390 in June. Each visor sells for $15. Shadees beginning and ending finished goods
Shadee Corp. expects to sell 550 sun visors in May and 390 in June. Each visor sells for $15. Shadees beginning and ending finished goods inventories for May are 75 and 45 units, respectively. Ending finished goods inventory for June will be 55 units.
It expects the following unit sales for the third quarter:
July | 560 |
August | 450 |
September | 470 |
Sixty percent of Shadees sales are cash. Of the credit sales, 50 percent is collected in the month of the sale, 38 percent is collected during the following month, and 12 percent is never collected.
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