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70 percent collected in the month of sales15 percent collected in the first month after sale10 percent collected in the second month after sale4 percent collected in the third month after sale1 percent uncollectible
The sales on account have been budgeted for the last seven months as follows:June-.......122,500 Sep...200,000 Dec....212,500July.........150,000 Oct...225,000August......175,000 Nov...250,000
1. Compute the estimated total cash collectons during October from credit sales2. Compute the estimated total cash collections during the fourth quarter from sales made on account during the fourth quarter3. Build a spreadsheet: Construct an Excel spreadsheet to solve both of the preceeding requirements SHow how the solution will change if the following information changes: sales in June and July were $100,000 and $130,000 respectively.
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