Question: please answer C and D Sutton Pointers Corporation expects to begin operations on January 1, 2015; will operate as a specialty sales company that sells

Sutton Pointers Corporation expects to begin operations on January 1, 2015; will operate as a specialty sales company that sells laser pointers over the Internet. Sutton expects sales in January 2015 to total $240,000 and to increase 10 percent per month in February and March. All sales are on account. Sutton expects to collect 67 percent of accounts receivable in the month of sal, 24 percent in the month following the sale, and 9 percent in the second month following the sale. Required a. Prepare a sales budget for the first quarter of 2015. ses March Sales Budget Sales on account January February $ 240,000 $ 264,000 $ 290,400 b. Determine the amount of sales revenue Sutton will report on the first 2015 quarterly pro forma income statement. Sales revenue $ 794,400 c. Prepare a cash receipts schedule for the first quarter of 2015. (Do not round intermediate calculations. Round your answers to the nearest whole dollar amount.) January + February March Schedule of Cash Receipts Receipts from January sales Receipts from February sales Receipts from March sales Total $ 0 $ 0 $ 0 d. Determine the amount of accounts receivable as of March 31, 2015. (Do not round intermediate calculations. Round your answers to the nearest whole dollar amount.) Accounts receivable
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
