Question
The Morning Jolt Coffee Company has projected the following quarterly sales amounts for the coming year: Q1 Q2 Q3 Q4 Sales $ 850 $ 880
| The Morning Jolt Coffee Company has projected the following quarterly sales amounts for the coming year: |
| Q1 | Q2 | Q3 | Q4 | |||||||||
| Sales | $ | 850 | $ | 880 | $ | 960 | $ | 1,040 | ||||
| a. | Accounts receivable at the beginning of the year are $365. The company has a 45-day collection period. Calculate cash collections in each of the four quarters by completing the following (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.): |
|
| b. | Recalculate the cash collections with a collection period of 60 days. (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) |
Q1Q2Q3Q4Beginning receivables Sales850.00880.00960.001,040.00Cash collectionsEnding receivables
| c. | Recalculate the cash collections with a period of 30 days. (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) |
| Q1 | Q2 | Q3 | Q4 | |
| Beginning receivables | ||||
| Sales | 850.00 | 880.00 | 960.00 | 1,040.00 |
| Cash collections | ||||
| Ending receivables |
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Introduction to Governmental and Not for Profit Accounting
Authors: Martin Ives, Terry K. Patton, Suesan R. Patton
7th edition
978-0132776011
