Question

All sales are on credit and are expected to be collected 45% in the month of sale and 55% in the month following sale. The total amount of cash expected to be received from customers in November is:

Answer 1

Answer:

$143,600

Explanation:

Calculation for The total amount of cash expected to be received from customers in November

Junior Snacks

October credit sales collected $77,000

(55% *$140,000)

Add November credit salescollected $66,600

(45% * $148,000)

Total Cash collected in November$143,600

($77,000+$66,600)

Therefore the total amount of cash expected to be received from customers in November is: $143,600