Which of the following items would be least useful in preparing a schedule of cash receipts?
A) Expected revenue from cash sales.
B) Number of units expected to be purchased.
C) Service charges for credit card sales.
D) Past accounts receivable collection experience.

Question

Quizplus · Accepted Answer

The number of units expected to be purchased is related to inventory planning and is not directly relevant to preparing a schedule of cash receipts, which focuses on anticipated cash inflows from various sources such as cash sales, credit card sales, and collections on past accounts receivable. Therefore, this option would be the least useful in preparing a schedule of cash receipts compared to the other options.

Which of the Following Items Would Be Least Useful in Preparing