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

Question 37

Short Answer

Becker Carpets makes all sales on credit with 50% of the payment being received in the month of sale,40% in the month following 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 balance of debtors at 31 March is:
a. $14000\$ 14000
b. $60000\$ 60000
c. $74000\$ 74000
d. $120,000\$ 120,000

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