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    Calculating Cash Collections and Sales

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    April May June
    Sales Budget $150,000 $173,000 $ 194,000

    credit sales are collected as follows:

    65 % in the month of sale
    20 % in the month after sale
    15 % in the second month after the sale

    accts. rec. balance at the end of the previous quarter was $57,000 of which $41,000 was uncollected December sales...

    a. Compute sales for November
    b December
    c. Compute the cash collections from sales for each month Jan-March

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    https://brainmass.com/business/cash/calculating-cash-collections-sales-123490

    Solution Preview

    Jan Feb March
    Sales Budget 150000 173000 194000
    Uncollected receivables from November sales were 57000-41000= $16000
    (Total receivables-Uncollected from December sales)

    November uncollected receivables are $16000 and this will be ...

    Solution Summary

    This solution contains step-by-step calculations to determine the sales for November, December and the cash collections from sale for each month Jan-March. All formulas and workings are shown in an Excel file.

    $2.19

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