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Rama09 [41]
3 years ago
6

Liza’s predicts sales of $40,000 for May and $52,000 for June. Assume 60% of Liza’s sales are for cash. The remaining 40% are cr

edit sales; credit customers pay in the month following the sale. Compute the budgeted cash receipts for June.
Business
1 answer:
emmasim [6.3K]3 years ago
4 0

Answer:

$47,200

Explanation:

Given that,

Sales in May = $40,000

Sales in June = $52,000

Cash sales = 60% of total sales

Credit sales = 40% of total sales (it will be paid in the month following the sale)

Cash sales for June:

= Budgeted sales - Ending accounts receivable

= $52,000 - (40% of $52,000)

= $52,000 - $20,800

= $31,200

Total Budgeted cash receipts for June:

= Cash sales for June + Collection of last months receivables(May credit sales)

= $31,200 + (40% of $40,000)

= $31,200 + $16,000

= $47,200

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6 0
3 years ago
Bonds with a face amount $1,000,000, are sold at 96. The entry to record the issuance is
laiz [17]

Answer:

Option C is correct

Explanation:

The cash proceeds from the bond issuance is 96% of its face value i.e 96%*$1,000,000=$960,000

The discount on bonds payable=Face value-cash proceeds

The discount on  bonds payable=$1,000,000-$960,000=$40,000

The appropriate entries would be to credit bonds payable with $1000,000 while cash and discount on bonds payable are debited with $960,000 and $40,000 respectively

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The underground economy refers to used product sellers who sell in secondary markets. It is thought to make up ________ of the U
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3 years ago
Since its organization in January of 2016, Mars Corp began with the issuance of 15,000 shares of $5 par, cumulative, 8% preferre
igomit [66]

Answer:

D) 3 years' worth of dividends will be paid to preferred shareholders prior to paying anything to common shareholders.

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