The Crazy Train Company has projected the following quarterly sales amounts for the coming year: a. Accounts

Question:

The Crazy Train Company has projected the following quarterly sales amounts for the coming year:

a. Accounts receivable at the beginning of the year are $340. Crazy Train has a 45-day collection period. Calculate cash collections in each of the four quarters by completing the following:

b. Rework (a) assuming a collection period of 60 days.

c. Rework (a) assuming a collection period of 30 days.

Accounts Receivable
Accounts receivables are debts owed to your company, usually from sales on credit. Accounts receivable is business asset, the sum of the money owed to you by customers who haven’t paid.The standard procedure in business-to-business sales is that...