Business, 20.10.2021 22:40 nialphonsa
Wichita Industries' sales are 20% cash and 80% on credit. Credit sales are collected as follows: 30% in the month of sale, 50% in the next month, and 20% in the second following month. On December 31, the accounts receivable balance includes $20,000 from November sales and $56,000 from December sales. Assume that total sales for January are budgeted to be $58,000. What are the expected cash receipts for January from the current and past sales?
a. $85,520.
b. $73,920.
c. $25,520.
d. $73,520.
e. $69,520.
Answers: 1
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Wichita Industries' sales are 20% cash and 80% on credit. Credit sales are collected as follows: 30%...
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