Page Company makes 30% of its sales for cash and 70% on account.60% of the account sales are collected in the month of sale,25% in the month following sale,and 12% in the second month following sale.The remainder is uncollectible.The following information has been gathered for the current year:
$$\begin{array} { | l | c | c | c | c | }
\hline \text { Month } & \mathbf { 1 } & \mathbf { 2 } & \mathbf { 3 } & \mathbf { 4 } \
\hline \text { Total sales } & \$ 60,000 & \$ 70,000 & \$ 50,000 & \$ 30,000 \
\hline
\end{array}$$Total cash receipts in Month 4 will be:

Question

Page Company makes 30% of its sales for cash and 70% on account.60% of the account sales are collected in the month of sale,25% in the month following sale,and 12% in the second month following sale.The remainder is uncollectible.The following information has been gathered for the current year: 
$$\begin{array} { | l | c | c | c | c | } 
\hline \text { Month } & \mathbf { 1 } & \mathbf { 2 } & \mathbf { 3 } & \mathbf { 4 } \
\hline \text { Total sales } & \$ 60,000 & \$ 70,000 & \$ 50,000 & \$ 30,000 \
\hline
\end{array}$$Total cash receipts in Month 4 will be:

Quizplus · Accepted Answer

The Answer of Page Company makes 30% of its sales for cash and 70% on account.60% of the account sales are collected in the month of sale,25% in the month following sale,and 12% in the second month following sale.The remainder is uncollectible.The following information has been gathered for the current year: 
$$\begin{array} { | l | c | c | c | c | } 
\hline \text { Month } & \mathbf { 1 } & \mathbf { 2 } & \mathbf { 3 } & \mathbf { 4 } \
\hline \text { Total sales } & \$ 60,000 & \$ 70,000 & \$ 50,000 & \$ 30,000 \
\hline
\end{array}$$Total cash receipts in Month 4 will be:

Page Company Makes 30% of Its Sales for Cash and 70