In: Finance
The Litzenberger Company has projected the following quarterly sales amounts for the coming year: |
Q1 | Q2 | Q3 | Q4 | |||||||||
Sales | $ | 700 | $ | 730 | $ | 810 | $ | 890 | ||||
a. |
Accounts receivable at the beginning of the year are $280. Litzenberger has a 45-day collection period. Calculate cash collections in each of the four quarters by completing the following: (Do not round intermediate calculations and round your answers to 2 decimal places. (e.g., 32.16). Negative amounts should be indicated by a minus sign.) |
Q1 | Q2 | Q3 | Q4 | |||||
Beginning receivables | $ | $ | $ | $ | ||||
Sales | 700.00 | 730.00 | 810.00 | 890.00 | ||||
Cash collections | ||||||||
Ending receivables | $ | $ | $ | $ | ||||
b. |
Recalculate the cash collections with a collection period of 60 days. (Do not round intermediate calculations and round your answers to 2 decimal places. (e.g., 32.16). Negative amounts should be indicated by a minus sign.) |
Q1 | Q2 | Q3 | Q4 | |||||
Beginning receivables | $ | $ | $ | $ | ||||
Sales | 700.00 | 730.00 | 810.00 | 890.00 | ||||
Cash collections | ||||||||
Ending receivables | $ | $ | $ | $ | ||||
c. |
Recalculate the cash collections with a collection period of 30 days. (Do not round intermediate calculations and round your answers to 2 decimal places. (e.g., 32.16). Negative amounts should be indicated by a minus sign.) |
Q1 | Q2 | Q3 | Q4 | |||||
Beginning receivables | $ | $ | $ | $ | ||||
Sales | 700.00 | 730.00 | 810.00 | 890.00 | ||||
Cash collections | ||||||||
Ending receivables | $ | $ | $ | $ |