Question 8View PoliciesCurrent Attempt in ProgressWaterway Industries reported the following information for 2016:rtOctober November DecemberBudgeted sales $1330000 $1230000 $1510000. All sales are on credit.. Customer amounts on account are collected 50% in the month of sale and 50% in the following month.How much cash will Waterway receive in November?O $1370000O $615000O $1230000O $1280000hpSuprt scdeletehom&7backspacePHJK

Budgeted cash receipts are the cash inflows expected for a budgeted period.

Answered: Question 8 View Policies Current…

EBK CFIN

6th Edition

ISBN:9781337671743

Author:BESLEY

Publisher:BESLEY

Chapter15: Managing Short-term Assets

Section: Chapter Questions

Problem 11PROB

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Question 7 : MNO Company's credit sales policy is to have: 50% of the sales amount in cash 30% collected after one month 20% after two months. The purchasing policy is to pay 60% in cash and the rest is to be paid after one month. Required: Calculate the net accounting profit for December. Calculate the net cash flow for December. Comment on the difference between the two previous answers. Item October November December Sales 400,000 350,000 450,000 Purchases 350,000 340,000 420,000
Mercurius forecasts the following sales figures for the next four months. June July August September 420,000 350,000 380,000 440,000 Cash sales average 15% of total sales. Credit sales are collected 60% in the month of sale and 40% in the month following sale. What is Mercurius' estimated accounts receivable balance on 31 July?
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0. Swetres Company has the following sales forecast for the selected three-month period in 2018. April, P120,000; May, P70,000; June, P80,000. 70% of sales are collected in the month of sale, and the balance are collected in the following month. Accounts receivable balance in April 1, P100,000. Cash balance in April 1, P60,000. Minimum cash balance required is P50,000. Cash can be borrowed in the multiples of P10,000 from local bank (disregard the interest charges). What is the cash balance at the end of April assuming that cash is received only from customers and that P200,000 is the cash out during April? 11.Selected information from the accounting records of Roleg Co. is as follows: Net accounts receivable at Dec. 31, 2018, P900,000; Net accounts receivable at Dec. 31, 2019, P1,000,000; Inventories at Dec. 31, 2018, P1,100,000; Inventories at Dec. 31, 2019, P1,200,000; Accounts receivable turnover, 5 times; inventory turnover, 4 times. What is Roleg's gross margin for 2019? 12.…
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A Company's credit sales policy is to have: 50% of the sales amount in cash 30% collected after one month 20% after two months. The purchasing policy is to pay 60% in cash and the rest is to be paid after one month. Required: Calculate the net accounting profit for December. Calculate the net cash flow for December. Comment on the difference between the two previous answers. Item October November December Sales 400,000 350,000 450,000 Purchases 350,000 340,000 420,000
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Question # 2 Sohrab Bicycle Co. shows the following accounting information for next four quarters of year 2016: Sohrab Bicycle Co. shows the following accounting information for next four quarters of year 2016: Quarter-1 Quarter-2 Quarter-3 Quarter-4 Sales in units 400 500 600 700 Price will remain unchanged for the whole year (i.e. Rs. 1500) Cash Collection: Cash Balance at start Rs. 1,000,000 60% cash will be collected for current quarter and 40% will be in the next quarter. Required: Sales budget for the year 2016 and Cash Budget
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