HomeworkLib
Question

Budgeted sales revenue for the coming five months is as follows: Month Sales revenue August $175,000...

Budgeted sales revenue for the coming five months is as follows:

Month Sales revenue
August $175,000
September $185,000
October $190,000
November $145,000
December $105,000

You estimate that you will collect 40% of sales revenue in the month of sale, 40% in the following month, 15% two months after the sale, and the remaining 5% three months after the sale.

Required:

Compute budgeted cash inflows for November and December.Budgeted sales revenue for the coming five months is as follows:

Month Sales revenue
August $175,000
September $185,000
October $190,000
November $145,000
December $105,000

You estimate that you will collect 40% of sales revenue in the month of sale, 40% in the following month, 15% two months after the sale, and the remaining 5% three months after the sale.

Required:

Compute budgeted cash inflows for November and December.

business   accounting   
0 0
Add a comment Improve this question Transcribed image text
Next > < Previous
Sort answers by oldest

Homework Answers

Answer #1

Compute cash inflow

November December
August sales 8750
September 27750 9250
October 76000 28500
November 58000 58000
December 42000
Total cash inflow 170500 137750
0 0
Add a comment
Know the answer?
Add Answer to:
Budgeted sales revenue for the coming five months is as follows: Month Sales revenue August $175,000...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions

  • Question 2. (cash receipts from sales) Budgeted sales revenue for the coming five months is as...

    Question 2. (cash receipts from sales) Budgeted sales revenue for the coming five months is as follows: Month Sales revenue August $160,000 September $155,000 October $155,000 November $115,000 December $180,000 You estimate that you will collect 35% of sales revenue in the month of sale, 35% in the following month, 25% two months after the sale, and the remaining 5% three months after the sale. Required: Compute budgeted cash inflows for November and December.    November = $    December...

  • August Budgeted sales are: Month Sales revenue $12,000 September $14,000 October $15,000 November $15,000 December $10,000...

    August Budgeted sales are: Month Sales revenue $12,000 September $14,000 October $15,000 November $15,000 December $10,000 You collect 50% of sales revenue as cash in the month of the sale, 40% in the following month, and 10% two months after the sale a) Compute budgeted cash inflows for October and November October $ November - $ Remember to go backwards in time: .9., 40% of September revenue is collected in the following month (October). This implies that cash inflows for...

  • Why the answer for the October and November are not correct? Please give me the answer...

    Why the answer for the October and November are not correct? Please give me the answer for October and November. Thanks Budgeted sales are: Month Sales revenue August | $20,000 September $15,000 October $18,000 November $13,000 December $12,000 You collect 50% of sales revenue as cash in the month of the sale, 40% in the following month, and 10% two months after the sale. a) Compute budgeted cash inflows for October and November: October = $ 15000 x November =...

  • Zz, Inc. has budgeted sales in units for the next six months as follows: July August...

    Zz, Inc. has budgeted sales in units for the next six months as follows: July August September October November December Budgeted Sales in Units 4,400 units 7,200 units 6,900 units 8,600 units ????? units 7,900 units All sales are made on account. The selling price is $23 per unit. The sales are collected in the pattern 11% in the month of sale, 24% in the month following sale, 57% in the second month following sale, and the final 8% is...

  • Towing Company has budgeted sales for the next six months as follows: Sales for Cash Sales...

    Towing Company has budgeted sales for the next six months as follows: Sales for Cash Sales on Account May $42,000 $257,000 June $37,000 $243,000 July $29,000 $238,000 August $48,000 $251,000 September $52,000 $269,000 October $45,000 $263,000 On average, 32% of the sales on account are collected in the month of sale, 40% are collected in the month following sale, 16% are collected in the second month following sale, 9% are collected in the third month following sale, and the remaining...

  • zz, Inc. has budgeted sales in units for the next six months as follows: July August...

    zz, Inc. has budgeted sales in units for the next six months as follows: July August September October November December Budgeted Sales in Units 4,400 units 7,200 units 6,900 units 8,600 units ????? units 7,900 units All sales are made on account. The selling price is $23 per unit. The sales are collected in the pattern 11% in the month of sale, 24% in the month following sale, 57% in the second month following sale, and the final 8% is...

  • Towing Company has budgeted sales for the next six months as follows: Sales for Cash Sales...

    Towing Company has budgeted sales for the next six months as follows: Sales for Cash Sales on Account May $42,000 $257,000 June $37,000 $243,000 July $29,000 $238,000 August $48,000 $269,000 September $52,000 $251,000 October $45,000 $263,000 On average, 32% of the sales on account are collected in the month of sale, 40% are collected in the month following sale, 16% are collected in the second month following sale, 8% are collected in the third month following sale, and the remaining...

  • zz, Inc. has budgeted sales in units for the next six months as follows: Budgeted Sales...

    zz, Inc. has budgeted sales in units for the next six months as follows: Budgeted Sales in Units July 4,400 units 7,200 units August September 6,900 units October 8,600 units ????? units November December 7,900 units All sales are made on account. The selling price is $23 per unit. The sales are collected in the pattern 11% in the month of sale, 24% in the month following sale, 57% in the second month following sale, and the final 8% is...

  • ZZ, Inc. has budgeted sales in units for the next six months as follows: Budgeted Sales...

    ZZ, Inc. has budgeted sales in units for the next six months as follows: Budgeted Sales in Units July 7,700 units August 8,300 units September 5,400 units October 10,200 units November ?????? units December 11,700 units The selling price is $18 per unit. 30% of the company's sales are cash sales and 70% of the company's sales are made on account. The sales on account are collected in the pattern 15% in the month of sale, 20% in the month...

  • Harrti Corporation has budgeted for the following sales: July $ 446,600 August $ 581,600 September $...

    Harrti Corporation has budgeted for the following sales: July $ 446,600 August $ 581,600 September $ 615,800 October $ 890,800 November $ 738,000 December $ 698,000 Sales are collected as follows: 15% in the month of sale; 65% in the month following the sale; and the remaining 20% in the second month following the sale. In Harrti's budgeted balance sheet at December 31, at what amount will accounts receivable be shown?

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT