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Jasper Company has sales on account and for cash. Specifically, 64% of its sales are on...

Jasper Company has sales on account and for cash. Specifically, 64% of its sales are on account and 36% are for cash. Credit sales are collected in full in the month following the sale. The company forecasts sales of $515,000 for April, $525,000 for May, and $550,000 for June. The beginning balance of Accounts Receivable is $298,700 on April 1.

Prepare a schedule of budgeted cash receipts for April, May, and June
April May June
Cash sales 36%
Sales on account 64%
Total sales
JASPER COMPANY
Schedule of Cash Receipts
For April, May, and June
April May June
Cash receipts from:
Cash sales
Collection of accounts receivable
Total budgeted cash receipts

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Expert Solution

  • All working forms part of the answer
  • All requirement as asked:

Working

%

April

May

June

A = C x 36%

Cash sales

36%

$    185,400.00

$     189,000.00

$    198,000.00

B = C x 64%

Sales on account

64%

$    329,600.00

$     336,000.00

$    352,000.00

C [given]

Total sales

100%

$    515,000.00

$     525,000.00

$      550,000.00

JASPER COMPANY

Schedule of Cash Receipts

For April, May, and June

April

May

June

Cash receipts from:

Cash sales

$    185,400.00

$     189,000.00

$    198,000.00

Collection of accounts receivable

$    298,700.00

$     329,600.00

$    336,000.00

Total budgeted cash receipts

$    484,100.00

$     518,600.00

$    534,000.00

ekkarill92 answered 1 year ago
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