Yax Company expects sales of $40,000 in July,$50,000 in August,and $30,000 in September.Yax's experience is that 40% of sales are cash,and the remainder are on account.Accounts receivable are paid: 70% in the month of sale,and 25% in the following month.
A. What are the expected cash receipts on accounts receivable in August for July sales?
B. What are the expected cash receipts on accounts receivable in August for August sales?
C. What are the total expected cash receipts on accounts receivable in August?
D. What are the total expected cash receipts in August?
E. How much of July sales are deemed to be uncollectible?

Question

Yax Company expects sales of $40,000 in July,$50,000 in August,and $30,000 in September.Yax's experience is that 40% of sales are cash,and the remainder are on account.Accounts receivable are paid: 70% in the month of sale,and 25% in the following month.
 A. What are the expected cash receipts on accounts receivable in August for July sales?
B. What are the expected cash receipts on accounts receivable in August for August sales?
C. What are the total expected cash receipts on accounts receivable in August?
D. What are the total expected cash receipts in August?
E. How much of July sales are deemed to be uncollectible?

Quizplus · Accepted Answer

The Answer of Yax Company expects sales of $40,000 in July,$50,000 in August,and $30,000 in September.Yax's experience is that 40% of sales are cash,and the remainder are on account.Accounts receivable are paid: 70% in the month of sale,and 25% in the following month.
 A. What are the expected cash receipts on accounts receivable in August for July sales?
B. What are the expected cash receipts on accounts receivable in August for August sales?
C. What are the total expected cash receipts on accounts receivable in August?
D. What are the total expected cash receipts in August?
E. How much of July sales are deemed to be uncollectible?

Yax Company Expects Sales of $40,000 in July,$50,000 in August,and