Hewitt Company expects cash sales for July of $11,000, and a 19% monthly increase during August and September. Credit sales of $14,000 in July should be followed by 28% increases during August and September. What are budgeted cash sales and budgeted credit sales for September respectively?

Question

Quizplus · Accepted Answer

For September, cash sales are calculated as $11,000 * 1.19^2 = $15,577 (since there's a 19% increase for both August and September). Credit sales are calculated as $14,000 * 1.28^2 = $22,938 (since there's a 28% increase for both August and September).

Hewitt Company Expects Cash Sales for July of $11,000, and a 19