XYZ Company has budgeted sales for the next six months as follows: Budgeted Sales $408,000 March April $366,000 May $329,000 $424,000 $368,000 June July
XYZ Company has budgeted sales for the next six months as follows: Budgeted Sales $408,000 March April $366,000 May $329,000 $424,000 $368,000 June July August $418,000 15% of the company's sales are cash sales and 85% of the company's sales are made on account. On average, 12% of the sales on account are collected in the month of sale, 44% is collected in the month following sale, 28% is collected in the second month following sale, and the remaining 16% is collected three months after the month of sale. Calculate the budgeted cash collections for the month of June.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started