roughly evenly split between credit and cash sales, with half the credit sales collected in the month after sale and the remainder two months after the sale. historical and projected sales for the gift shop are:

roughly evenly split between credit and cash sales, with half the credit sales collected in the month after sale and the remainder two months after the sale. historical and projected sales for the gift shop are:

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter8: Budgeting

Section: Chapter Questions

Problem 18E

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Question

15. On December 31,2021, the Denjay Gift Shop had outstanding accounts receivable balance of P20,000. Denjay's sales are
roughly evenly split between credit and cash sales, with half the credit sales collected in the month after sale and the remainder two months after the sale. historical and projected sales for the gift shop are:

Month Sales
October 2021 150,000
November 2021 200,000
December 2021 300,000
January 2022 (projected) 400,000

Under the circumstances what should the balance in accounts receivable be at the end of January 2022?

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