Budgeted sales for the third quarter of the year for Brown Company are as follows: Cash...

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Budgeted sales for the third quarter of the year for Brown Company are as follows: Cash Collection June Budgeted Sales $350,000 $300,000 375,000 450,000 Total Cash Collected July August September June July The company normally collects 30 percent in the month of sale and 65 percent in the month following the sale. Five percent of all sales are uncollectible and are written off in the following month. B. Cash Payment Schedule for Raw Material Purchases Budgeted Purchases The balance in accounts receivable at July 1 was $245,000, which represents 70 percent of June sales. Required: Determine cash collection for July, August, & Sept. July August September $168,000 354,000 472,000 August September CASH PAYMENT aug july Sept The company normally pays for 70% of its purchases in the month of purchase. The remaining 30% is paid in the following month. Instructions: Prepare a schedule of cash payments on accounts payable for each month and in total for the first quarter. Budgeted sales for the third quarter of the year for Brown Company are as follows: Cash Collection June Budgeted Sales $350,000 $300,000 375,000 450,000 Total Cash Collected July August September June July The company normally collects 30 percent in the month of sale and 65 percent in the month following the sale. Five percent of all sales are uncollectible and are written off in the following month. B. Cash Payment Schedule for Raw Material Purchases Budgeted Purchases The balance in accounts receivable at July 1 was $245,000, which represents 70 percent of June sales. Required: Determine cash collection for July, August, & Sept. July August September $168,000 354,000 472,000 August September CASH PAYMENT aug july Sept The company normally pays for 70% of its purchases in the month of purchase. The remaining 30% is paid in the following month. Instructions: Prepare a schedule of cash payments on accounts payable for each month and in total for the first quarter.

Answer rating: 100% (QA)

A Cash Collection Schedule July August September July Sales 264250 August Sales 317500 September Sales 307500 Total Cash Collected 264250 317500 30750... View the full answer