Budgeted sales in Acer Corporation over the next four months are given below:
Thirty percent of the company's sales are for cash and 70% are on account.Collections for sales on account follow a stable pattern as follows:
50% of a month's credit sales are collected in the month of sale,30% are collected in the month following sale,and 20% are collected in the second month following sale.Given these data,cash collections for December should be:

Question

Budgeted sales in Acer Corporation over the next four months are given below:
 Thirty percent of the company's sales are for cash and 70% are on account.Collections for sales on account follow a stable pattern as follows:
50% of a month's credit sales are collected in the month of sale,30% are collected in the month following sale,and 20% are collected in the second month following sale.Given these data,cash collections for December should be:

Quizplus · Accepted Answer

Cash collections for December:
 11ea7761_17a2_f540_81a5_73c335ffe145_TB2580_00

Budgeted Sales in Acer Corporation Over the Next Four Months