Question

SJU, a clothing wholesaler, was preparing its sales budget for the first quarter of 20x8. Actual and forecast sales are as follows:

Month	Budgeted sales
November (actual)	$700,000
December (actual)	$900,000
January	$810,000
February	$990,000
March	$940,000

Fifty-five percent of sales are cash. The remaining 45% is collected in the following month. Accounts receivable at the beginning of 20x8 are $405,000 (45% of December sales of $900,000).

Use this information to answer the questions that follow. This question will require the use of Excel to prepare a schedule of sales and cash collections.

What is the amount of cash that will be collected in January, 20x8? Round your answer to the nearest whole dollar. Do not enter dollar signs or commas.

Answer:

What is the amount of cash that will be collected in March, 20x8? Round your answer to the nearest whole dollar. Do not enter dollar signs or commas.

Answer:

What is the amount of accounts receivable at March 31, 20x8? Round your answer to the nearest whole dollar. Do not enter dollar signs or commas.

Answer:

Answer 1

				Jan	Feb	Mar
Cash sales				445500	544500	517000
Credit Sales
Dec monht sale				405000
Jan Month sale					364500
Feb Month sale						423000
Total collection of month				850500	909000	940000
Req 1. Amount of cash collected iin Jan: $ 850500
Req2 Amount of cash collected in Mar: $ 940000
Req3: Accounts receivable balance at Mar31
45% of sales of March Month			423000
(45% of $ 940000)
Accounts receivable at end			423000