Caribbean Tool and Die Company's forecasted sales for April, May, June and July are $150,000, $225,000, $180,000, and $210,000, respectively. Sales are 50% cash and 50% credit with all accounts receivables collected in the month following the sale.
What are the cash collections budgeted for June?

Question

Quizplus · Accepted Answer

C) Calculations:
$180,000 × 50% = $90,000
$225,000 × 50% = $112,500
$90,000 + $112,500 = $202,500

Caribbean Tool and Die Company's Forecasted Sales for April, May