Question
The following sales budget has been prepared: Month Cash Sales Credit Sales September $100,000 $200,000 October 115,000 180,000 November 120,000 210,000 December 125,000 190,000 Collections
The following sales budget has been prepared: Month Cash Sales Credit Sales September $100,000 $200,000 October 115,000 180,000 November 120,000 210,000 December 125,000 190,000 Collections of credit sales are 50% in the month of sale, 40% in the month following sale, and 10% two months following sale. No uncollectible accounts are expected.
What are the estimated cash collections in November?
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Survey of Accounting
Authors: Carl S Warren
6th edition
978-113318912, 1133189121, 978-1133189121
