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solve the problem Lee Verly will be opening his company called LV Catering in January of the next year. He predicts that January, February and
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Lee Verly will be opening his company called LV Catering in January of the next year. He predicts that January, February and March will generate $195,000, $110,000 and $130,000 worth of sales respectively. The company expects to sell 35% of its products for cash. Of the sales on account, 55% are expected to be collected in the month of the sale, 25% in the month following the sale and the remainder in the following month. Prepare the cash receipts section of the cash budget. Do not enter dollar signs or commas in the input boxes. Bound your answers to the nearest whole number. Cash sales LV Catering Cash Receipts For January, February and March 1 January February Total Cash Receipts $68250 Collections from credit customers $ 126750 $195000 $71500 $71500 $ 110000 March $45500 $ 84500 $ 130000 Step by Step Solution
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