Total cash receipts in budget


Parlee Company's sales are 30% in cash and 70% on credit. Sixty % of the credit 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 are budgeted sales data:

Total cash receipts in April would be budgeted to be:

A. $38,900

B. $47,900

C. $27,230

D. $36,230

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Accounting Basics: Total cash receipts in budget
Reference No:- TGS082204

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