From the following data calculate the estimated cash received from total sales for the month of June.
Total sales for April,$42 000; May,$54 000; June,$38 000.
Credit sales are normally settled in the pattern: 50% in the month of sale,40% in the first month following the sale,and the balance in the second month following the sale.

Question

Quizplus · Accepted Answer

For June, the estimated cash received from total sales includes: - 50% of June sales: 0.5 * $38,000 = $19,000 - 40% of May sales: 0.4 * $54,000 = $21,600 - 10% of April sales (the balance from 100% - 50% - 40%): 0.1 * $42,000 = $4,200 Adding these together gives: $19,000 + $21,600 + $4,200 = $44,800.

From the Following Data Calculate the Estimated Cash Received from Total