Bentfield Corporation has found that 80% of its sales in any given month are credit sales, while the remainder are cash sales. Of the credit sales, Bentfield Corporation has experienced the following collection pattern: 25% received in the month of the sale 50% received in the month after the sale 15% received two months after the sale 10% of the credit sales are never received Cash sales Collections on credit sales: 25% Month of sale 50% Month after 15% Two months after Total cash collections November sales for last year were $110,000, while December sales were $125,000. Projected sales for the next three months are as follows: January sales....... February sales March sales... $ 160,000 $ 130,000 170,000 Bentfield Corporation Cash Collections Budget For the Months of January through March January . $ Requirement Prepare a cash collections budget for the first quarter, with a column for each month and for the quarter. (Round your answers to the nearest whole dollar.)

Bentfield Corporation has found that 80% of its sales in any given month are credit sales, while the remainder are cash sales. Of the credit sales, Bentfield Corporation has experienced the following collection pattern: 25% received in the month of the sale 50% received in the month after the sale 15% received two months after the sale 10% of the credit sales are never received Cash sales Collections on credit sales: 25% Month of sale 50% Month after 15% Two months after Total cash collections November sales for last year were $110,000, while December sales were $125,000. Projected sales for the next three months are as follows: January sales....... February sales March sales... $ 160,000 $ 130,000 170,000 Bentfield Corporation Cash Collections Budget For the Months of January through March January . $ Requirement Prepare a cash collections budget for the first quarter, with a column for each month and for the quarter. (Round your answers to the nearest whole dollar.)

Excel Applications for Accounting Principles

4th Edition

ISBN:9781111581565

Author:Gaylord N. Smith

Publisher:Gaylord N. Smith

Chapter22: Master Budget (master)

Section: Chapter Questions

Problem 1R: Ranger Industries has provided the following information at June 30: Other information: Average...

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Del Spencer is the owner and founder of Del Spencers Mens Clothing Store. Del Spencers has its own house charge accounts and has found from past experience that 10 percent of its sales are for cash. The remaining 90 percent are on credit. An aging schedule for accounts receivable reveals the following pattern: 15 percent of credit sales are paid in the month of sale. 65 percent of credit sales are paid in the first month following the sale. 14 percent of credit sales are paid in the second month following the sale. 6 percent of credit sales are never collected. Credit sales that have not been paid until the second month following the sale are considered overdue and are subject to a 3 percent late charge. Del Spencers has developed the following sales forecast: Required: Prepare a schedule of cash receipts for August and September.
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Alderman Corporation has found that 70% of its sales in any given month are credit sales, while the remainder are cash sales. Of the credit sales, Alderman Corporation has experienced the following collection pattern 20% received in the month of the sale 40% received in the month after the sale 22% received two months after the sale 18% of the credit sales are never received Cash sales Collections on credit salos 20% Month of sale 40% Month after 22% Two months after EXCE November sales for last year were $110,000, while December sales were $115,000 Projected sales for the next three months are as follows: January sales.. February sales. March sales. $ 160,000 120,000 $ 165,000 Requirement Prepare a cash collections budget for the first quarter, with a column for each month and for the quarter (Round your answers to the Alderman Corporation Cash Collections Budget For the Months of January through March January In (2) (2)
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