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Becker Carpets Makes All Sales on Credit with 50% of the Payment

Question 40

Short Answer

Becker Carpets makes all sales on credit with 50% of the payment received in the month of sale,40% in the month following the sale and the remaining 10% in the subsequent month. Budgeted sales are as follows:
 January $100000 February $140000 March $120000\begin{array} { l l } \text { January } & \$ 100000 \\ \text { February } & \$ 140000 \\ \text { March } & \$ 120000 \end{array}
The budgeted receipts from debtors during March are:
a. $96000\$ 96000
b. $116000\$ 116000
c. $126000\$ 126000
d. $120000\$ 120000

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