omework (required) Anderson 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, Anderson Corporation has experienced the following collection pattern: 25% received in the month of the sale 50% received in the month after the sale 18% received two months after the sale 7% of the credit sales are never received Cash sales Collections on credit sales: 25% Month of sale 50% Month after 18% Two months after Total cash collections Anderson Corporation Cash Collections Budget For the Months of January through March January February $ $ 33,000 Part 2 of 4 33,000 50,000 12,960 128,960 Points: 0.2 of 2 January sales.. February sales March sales. November sales for last year were $90,000, while December sales were $125,000. Projected sales for the next three months are as follows: Save $ 165,000 $ 130,000 $ 200,000 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 nearest whole dollar.)
omework (required) Anderson 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, Anderson Corporation has experienced the following collection pattern: 25% received in the month of the sale 50% received in the month after the sale 18% received two months after the sale 7% of the credit sales are never received Cash sales Collections on credit sales: 25% Month of sale 50% Month after 18% Two months after Total cash collections Anderson Corporation Cash Collections Budget For the Months of January through March January February $ $ 33,000 Part 2 of 4 33,000 50,000 12,960 128,960 Points: 0.2 of 2 January sales.. February sales March sales. November sales for last year were $90,000, while December sales were $125,000. Projected sales for the next three months are as follows: Save $ 165,000 $ 130,000 $ 200,000 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 nearest whole dollar.)
Chapter18: The Management Of Accounts Receivable And Inventories
Section: Chapter Questions
Problem 1P
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Transcribed Image Text:omework (required)
Anderson 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, Anderson Corporation has experienced the following collection pattern:
25% received in the month of the sale
50% received in the month after the sale
18% received two months after the sale
7% of the credit sales are never received
Cash sales
Collections on credit sales:
25% Month of sale
50% Month after
18% Two months after
Total cash collections
Anderson Corporation
Cash Collections Budget
For the Months of January through March
January
February
$
$
33,000
Part 2 of 4
33,000
50,000
12,960
128,960
Points: 0.2 of 2
January sales..
February sales
March sales.
November sales for last year were $90,000, while December sales were $125,000. Projected sales for the next
three months are as follows:
Save
$ 165,000
$ 130,000
$
200,000
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 nearest whole dollar.)
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