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The amber magick shoppe has forecasted sales revenues and purchases for the last five months of 20X5 to be as follows: 60% of sales are
The amber magick shoppe has forecasted sales revenues and purchases for the last five months of 20X5 to be as follows:
60% of sales are on credit. On the basis of past experience, 50% of the accounts receivable are collected the month after the sale and the remainder are collected two months after that the sale. Purchases are paid 30 days after they are incurred. The firm has a cash balance of $5000 on hand as of October 31 but it's minimum required cash balance is $4000
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