Wichita Industries' sales are 10% cash and 90% on credit.Credit sales are collected as follows: 30% in the month of sale,50% in the next month,and 20% in the second following month.On December 31,the accounts receivable balance includes $12,000 from November sales and $42,000 from December sales.Assume that total sales for January are budgeted to be $50,000.What are the expected cash receipts for January from the current and past sales?

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The Answer of Wichita Industries' sales are 10% cash and 90% on credit.Credit sales are collected as follows: 30% in the month of sale,50% in the next month,and 20% in the second following month.On December 31,the accounts receivable balance includes $12,000 from November sales and $42,000 from December sales.Assume that total sales for January are budgeted to be $50,000.What are the expected cash receipts for January from the current and past sales?

Wichita Industries' Sales Are 10% Cash and 90% on Credit