schedule of cash collections

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1) Aramar Company has the following sales budget:

 

Month                      Cash Sales                               Credit Sales

February                       $24,000                                     $48,000

March                             18,800                                       29,200

April                               10,800                                       28,400

 

Collections of credit sales are 35% in the month of sale, 30% in the month after sale and 33% two months after sale.  No uncollectible accounts are expected.

 

Required:

Prepare a schedule of cash collections for the three months

    • 13 years ago
    schedule of cash collections
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