It is the end of August 2022 and Taylor Enterprises has compiled the information to see...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
It is the end of August 2022 and Taylor Enterprises has compiled the information to see what actuals sales have been from May to August and to estimate the sales for September to November. Cash sales account for 45% of total sales. For bank credit cards, Visa accounts for 15% of sales and MasterCard accounts for 10% of sales. The rest of sales are on open account. Collection of cash sales, Visa and MasterCard occur in the month of the sale. Visa is subject to a 2% bank fee and MasterCard is subject to a 3% bank fee at the time of the deposit. Accounts receivable collections for the open accounts is as follows: cash is collected for 80% in the month following the sale, 15% in the second month and 5% in the third month. May June July August September October November December January Sales in Units 4,120 4,800 5,000 5,680 4,320 4,400 3,800 4,200 4,600 Total Revenues $103,000 $120,000 $125,000 $120,000 $108,000 $110,000 $95,000 $105,000 $115,000 Required Calculate the cash Taylor Enterprises can expect to collect during August 2022 It is the end of August 2022 and Taylor Enterprises has compiled the information to see what actuals sales have been from May to August and to estimate the sales for September to November. Cash sales account for 45% of total sales. For bank credit cards, Visa accounts for 15% of sales and MasterCard accounts for 10% of sales. The rest of sales are on open account. Collection of cash sales, Visa and MasterCard occur in the month of the sale. Visa is subject to a 2% bank fee and MasterCard is subject to a 3% bank fee at the time of the deposit. Accounts receivable collections for the open accounts is as follows: cash is collected for 80% in the month following the sale, 15% in the second month and 5% in the third month. May June July August September October November December January Sales in Units 4,120 4,800 5,000 5,680 4,320 4,400 3,800 4,200 4,600 Total Revenues $103,000 $120,000 $125,000 $120,000 $108,000 $110,000 $95,000 $105,000 $115,000 Required Calculate the cash Taylor Enterprises can expect to collect during August 2022
Expert Answer:
Answer rating: 100% (QA)
Cash Collected During the August 2022 Working Note 120000045 P... View the full answer
Related Book For
Accounting Principles
ISBN: 978-1119048503
7th Canadian Edition Volume 1
Authors: Jerry J. Weygandt, Donald E. Kieso, Paul D. Kimmel, Barbara Trenholm, Valerie Warren, Lori Novak
Posted Date:
Students also viewed these accounting questions
-
A 20 kg child is the end of a long see saw, 3 m to the right of center. An 80 kg adult is 1 m to the left of center. Find the center of mass. Who will go up? The formula for the expectation in...
-
It is the end of 2007. Ginnungagap Oy began operations in January 2006. The company is so named because it has no variable costs. All its costs are fixed; they do not vary with output. Ginnungagap is...
-
It is the end of a reporting period. Because there are more people than usual retiring this year, your manager has asked your accounting department to create 2 things: A process documentation...
-
Steve Jobs wrote some Python code to determine if Apple met its quota for the Apple Newton. What does his code below output? quota = 10000000 newton 5000000 print("Welcome to Mac") if newton quota:...
-
Days sales outstanding-Baker Bros has a DSO of 40 days, and its annual sales are $7,300,000. What is its accounts receivable balance? Assume it uses a 365-day year.
-
(a) Sketch an 2 interaction of 1,3-butadiene with a metal atom. (b) Do the same for an 4 interaction.
-
Tsingtao Companys balance sheet shows a stockholders equity book value (total common equity) of \($800,500.\) The firms earnings per share were \($3.50,\) resulting in a price/earnings ratio of...
-
Shiraz Rugs began operations on February 1. It uses a perpetual inventory system. During February, the company had the following purchases and sales. Instructions (a) Determine the ending inventory...
-
Marshall's concept of external economies and diseconomies refers to: a) Changes in output resulting from changes in input levels b) The effects of production on the environment c) The benefits or...
-
A solution with a final volume of 500.0 mL was prepared by dissolving 25.00 mL of methanol (CH 3 OH, density = 0.791 4 g/mL) in chloroform. (a) Calculate the molarity of methanol in the solution. (b)...
-
The Zambian Government (GRZ) declared Copperbelt Energy Corporation (CEC) transmission and distribution lines as a common carrier of electricity. This infers that GRZ through ZESCO Ltd will use the...
-
Default occurs most commonly when a debtor fails to repay the loan for which their property served as collateral. (True/False)
-
An insurance broker is an agent of an insurance company. (True/False)
-
Jerzy files a petition for relief in bankruptcy. He does not reveal enough information in the documents provided with the petition for a decision to be made about his financial circumstances. This...
-
Pedigree Millwork Company negotiates with Quality Builders, Inc., for the construction of a new facility to manufacture pattern moldings, stair parts, cabinet parts, panels, and other specialty wood...
-
Safe Loans, Inc., wants to perfect its security interest in Tech Corporations inventory for sale or lease. Most likely, Safe should file a financing statement with a. a city manager. b. a county...
-
According to the table below, what is the remaining inventory? Beginning Inventory 100 black pens 152 blue pens 70 #2 pencils 50 packs of paper clips 40 packs of staplers 35 office phones 5 boxes of...
-
The manager for retail customers, Katie White, wants to hear your opinion regarding one business offer she has received from an entrepreneur who is starting a mobile phone app called Easy Money. The...
-
You are presented with the following transactions for A. Rai, a sole proprietorship established in the month of April: Apr. 1 The owner, A. Rai, invested $27,750 in the business. 2 Purchased...
-
Selected financial information is available at July 31 for Drew Co. (a) Calculate (1) working capital, (2) the current ratio, and (3) the acid-test ratio for 2016 and 2017. (b) Indicate whether there...
-
Use the accounting equation to answer each of the following questions: (a) The liabilities of Weber Company are $120,000 and the owner's equity is $232,000. What is the amount of Weber Company's...
-
Example 11.3 introduces Klein's Model I. Use the data file klein to answer the following questions. a. Estimate the investment function in equation (11.18) by OLS. Comment on the signs and...
-
Mike's Veneer Shop owns a vacuum press that requires annual maintenance. Mike has a contract to cover the maintenance expenses for the next 5 years. The contract calls for an annual payment of \(\$...
-
True or False: The Consumer Price Index typically increases faster than the Higher Education Price Index.
Study smarter with the SolutionInn App