Question

The Litzenberger Company has projected the following quarterly sales amounts for the coming year: Q1 Q2 Q3 Q4 Sales $ 790 $ 820 $ 900 $ 980 a. Accounts receivable at the beginning of the year are $380. The company 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. A negative answer should be indicated by a minus sign.)

Beginning receivables$ Q1 $ Q2 $Q3 $ Q4

Sales Q1 790 Q 820 Q3 900 Q 4 980

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. A negative answer should be indicated by a minus sign.)

	Q1			Q2			Q3			Q4
Beginning receivables	$			$			$			$
Sales		790			820			900			980
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. A negative answer should be indicated by a minus sign.)

	Q1			Q2			Q3			Q4
Beginning receivables	$			$			$			$
Sales		790			820			900			980
Cash collections
Ending receivables	$			$			$			$

Answer 1