Question
The Litzenberger Company has projected the following quarterly sales amounts for the coming year: Q1 Q2 Q3 Q4 Sales $ 750 $ 780 $ 860
The Litzenberger Company has projected the following quarterly sales amounts for the coming year:
Q1 | Q2 | Q3 | Q4 | |||||||||
Sales | $ | 750 | $ | 780 | $ | 860 | $ | 940 | ||||
a. | Accounts receivable at the beginning of the year are $340. Litzenberger has a 45-day collection period. Calculate cash collections in each of the four quarters by completing the following: (Do not round intermediate calculations and round your answers to 2 decimal places (e.g., 32.16). Negative amounts should be indicated by a minus sign.) |
Q1 | Q2 | Q3 | Q4 | |||||
Beginning receivables | $ | $ | $ | $ | ||||
Sales | 750 | 780 | 860 | 940 | ||||
Cash collections | ||||||||
Ending receivables | $ | $ | $ | $ | ||||
b. | Recalculate the cash collections with a collection period of 60 days. (Do not round intermediate calculations and round your answers to 2 decimal places (e.g., 32.16). Negative amounts should be indicated by a minus sign.) |
Q1 | Q2 | Q3 | Q4 | |||||
Beginning receivables | $ | $ | $ | $ | ||||
Sales | 750 | 780 | 860 | 940 | ||||
Cash collections | ||||||||
Ending receivables | $ | $ | $ | $ | ||||
c. | Recalculate the cash collections with a collection period of 30 days. (Do not round intermediate calculations and round your answers to 2 decimal places (e.g., 32.16). Negative amounts should be indicated by a minus sign.) |
Q1 | Q2 | Q3 | Q4 | |||||
Beginning receivables | $ | $ | $ | $ | ||||
Sales | 750 | 780 | 860 | 940 | ||||
Cash collections | ||||||||
Ending receivables | $ | $ | $ | $ | ||||
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