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Simpson Glove Company has made the following sales projections for the next six months. All sales are credit sales. March April May June July
Simpson Glove Company has made the following sales projections for the next six months. All sales are credit sales. March April May June July August $ 42,000 51,000 33,000 48,000 59,000 63,000 Sales in January and February were $41,000 and $39,000, respectively. Experience has shown that of total sales receipts 10 percent are uncollectible, 35 percent are collected in the month of sale, 25 percent are collected in the following month, and 30 percent are collected two months after sale. Prepare a monthly cash receipts schedule for the firm for March through August.
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