contestada

The Litzenberger Company has projected the following quarterly sales amounts for the coming year: Q1 Q2 Q3 Q4 Sales $ 660 $ 690 $ 770 $ 840 a. Accounts receivable at the beginning of the year are $280. The company has a 45-day collection period. Calculate cash collections in each of the four quarters by completing the following

Respuesta :

anthougo

The calculation of The Litzenberger Company's Cash Collections in the quarters and the completion of the table are as follows:

                                              Q1           Q2         Q3           Q4

Beginning Receivables     $280       $330     $345        $385

Sales                                    660          690       770          840

Cash collections                 610          675       730         805

Ending Receivables         $33 0        $345    $385       $420

Data and Calculations:

                                   Q1           Q2        Q3           Q4

Sales                      $ 660      $ 690    $ 770     $ 840

Cash Collections period = 45 days

Cash collections in each quarter = Quarter Sales x 45/90 + Previous Quarter's balance

=

Quarter 1 = $610 ($660 x 45/90 + $280)

Quarter 2 = $675 ($690 x 45/90 + $330)

Quarter 3 = $730 ($770 x 45/90 + $345)

Quarter 4 = $805 ($840 x 45/90 + $385)

Learn more: brainly.com/question/8707644

Otras preguntas