Preparing a schedule of cash receipts
The budget director of Ginger’s Florist has prepared the following sales budget. The company had $300,000 in accounts receivable on July 1. Ginger’s Florist normally collects 100 percent of accounts receivable in the month following the month of sale.
Sales | July | August | September |
Sales Budget |
|
|
|
Cash sales | $ 70,000 | $ 75,000 | $ 80,000 |
Sales on account | 90,000 | 108,000 | 129,600 |
Total budgeted sales | $160,000 | $183,000 | $209,600 |
Schedule of Cash Receipts |
|
|
|
Current cash sales | ? | ? | ? |
Plus collections from accounts receivable | ? | ? | ? |
Total budgeted collections | $370,000 | $165,000 | $188,000 |
Required
a.Complete the schedule of cash receipts by filling in the missing amounts.
b. Determine the amount of accounts receivable the company will report on its third quarter pro forma balance sheet.
We need at least 10 more requests to produce the solution.
0 / 10 have requested this problem solution
The more requests, the faster the answer.