Question
Shadee Corp. expects to sell 650 sun visors in May and 340 in June. Each visor sells for $19. Shadees beginning and ending finished goods
Shadee Corp. expects to sell 650 sun visors in May and 340 in June. Each visor sells for $19. Shadees beginning and ending finished goods inventories for May are 85 and 40 units, respectively. Ending finished goods inventory for June will be 60 units.
It expects the following unit sales for the third quarter:
July | 560 |
August | 480 |
September | 460 |
Sixty percent of Shadees sales are cash. Of the credit sales, 52 percent is collected in the month of the sale, 39 percent is collected during the following month, and 9 percent is never collected.
Required:
Calculate Shadees total cash receipts for August and September. (Do not round your intermediate calculations. Round your answers to the nearest whole dollar.)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started