Question
Shadee Corporation expects to sell 610 sun shades in May and 350 in June. Each shades sells for $16. Shadees beginning and ending finished goods
Shadee Corporation expects to sell 610 sun shades in May and 350 in June. Each shades sells for $16. Shadees beginning and ending finished goods inventories for May are 65 and 50 shades, respectively. Ending finished goods inventory for June will be 65 shades.
It expects the following unit sales for the third quarter:
July | 530 |
---|---|
August | 470 |
September | 450 |
Sixty percent of Shadees sales are cash. Of the credit sales, 52 percent is collected in the month of the sale, 38 percent is collected during the following month, and 10 percent is never collected.
Required:
Calculate Shadees total cash receipts for August and September.
My answers are: 7,419 and 6,751 why is this wrong?
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