Schedule of Cash Collections on Accounts Receivable and Cash Budget Bennett Inc. found that about 30% of its sales during the month were for cash. Bennett has the following accounts receivable payment experience: Percent paid in the month of sale 25 Percent paid in the month after the sale 68 Percent paid in the second month after the sale 5 Bennett's anticipated sales for the next few months are as follows: April $250,000 May 290,000 June 280,000 July 295,000 August 300,000 Required: 1. Calculate credit sales for May. $fill in the blank 5ada08018fd8065_1 Calculate credit sales for June. $fill in the blank 5ada08018fd8065_2 Calculate credit sales for July. $fill in the blank 5ada08018fd8065_3 Calculate credit sales for August. $fill in the blank 5ada08018fd8065_4 2. Prepare a schedule of cash receipts for July and August. Round your answers to the nearest whole dollar, if necessary. If an amount box does not require an entry, leave it blank or enter "0". Be sure to enter percentages as whole numbers. Bennett Inc. Schedule of Cash Receipts For July and August July August Cash sales $fill in the blank 0d736a0a1029fad_1 $fill in the blank 0d736a0a1029fad_2 Payments on account: From May credit sales: $fill in the blank 0d736a0a1029fad_3 × fill in the blank 0d736a0a1029fad_4 % fill in the blank 0d736a0a1029fad_5 fill in the blank 0d736a0a1029fad_6 From June credit sales: $fill in the blank 0d736a0a1029fad_7 × fill in the blank 0d736a0a1029fad_8 % fill in the blank 0d736a0a1029fad_9 $fill in the blank 0d736a0a1029fad_10 × fill in the blank 0d736a0a1029fad_11 % fill in the blank 0d736a0a1029fad_12 From July credit sales: $fill in the blank 0d736a0a1029fad_13 × fill in the blank 0d736a0a1029fad_14 % fill in the blank 0d736a0a1029fad_15 $fill in the blank 0d736a0a1029fad_16 × fill in the blank 0d736a0a1029fad_17 % fill in the blank 0d736a0a1029fad_18 From August credit sales: $fill in the blank 0d736a0a1029fad_19 × fill in the blank 0d736a0a1029fad_20 % fill in the blank 0d736a0a1029fad_21 fill in the blank 0d736a0a1029fad_22 Cash receipts $fill in the blank 0d736a0a1029fad_23 $fill in the blank 0d736a0a1029fad_24

Schedule of Cash Collections on Accounts Receivable and Cash Budget Bennett Inc. found that about 30% of its sales during the month were for cash. Bennett has the following accounts receivable payment experience: Percent paid in the month of sale 25 Percent paid in the month after the sale 68 Percent paid in the second month after the sale 5 Bennett's anticipated sales for the next few months are as follows: April $250,000 May 290,000 June 280,000 July 295,000 August 300,000 Required: 1. Calculate credit sales for May. $fill in the blank 5ada08018fd8065_1 Calculate credit sales for June. $fill in the blank 5ada08018fd8065_2 Calculate credit sales for July. $fill in the blank 5ada08018fd8065_3 Calculate credit sales for August. $fill in the blank 5ada08018fd8065_4 2. Prepare a schedule of cash receipts for July and August. Round your answers to the nearest whole dollar, if necessary. If an amount box does not require an entry, leave it blank or enter "0". Be sure to enter percentages as whole numbers. Bennett Inc. Schedule of Cash Receipts For July and August July August Cash sales $fill in the blank 0d736a0a1029fad_1 $fill in the blank 0d736a0a1029fad_2 Payments on account: From May credit sales: $fill in the blank 0d736a0a1029fad_3 × fill in the blank 0d736a0a1029fad_4 % fill in the blank 0d736a0a1029fad_5 fill in the blank 0d736a0a1029fad_6 From June credit sales: $fill in the blank 0d736a0a1029fad_7 × fill in the blank 0d736a0a1029fad_8 % fill in the blank 0d736a0a1029fad_9 $fill in the blank 0d736a0a1029fad_10 × fill in the blank 0d736a0a1029fad_11 % fill in the blank 0d736a0a1029fad_12 From July credit sales: $fill in the blank 0d736a0a1029fad_13 × fill in the blank 0d736a0a1029fad_14 % fill in the blank 0d736a0a1029fad_15 $fill in the blank 0d736a0a1029fad_16 × fill in the blank 0d736a0a1029fad_17 % fill in the blank 0d736a0a1029fad_18 From August credit sales: $fill in the blank 0d736a0a1029fad_19 × fill in the blank 0d736a0a1029fad_20 % fill in the blank 0d736a0a1029fad_21 fill in the blank 0d736a0a1029fad_22 Cash receipts $fill in the blank 0d736a0a1029fad_23 $fill in the blank 0d736a0a1029fad_24

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 17E

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Schedule of Cash Collections on Accounts Receivable and Cash Budget

Bennett Inc. found that about 30% of its sales during the month were for cash. Bennett has the following accounts receivable payment experience:

Percent paid in the month of sale	25
Percent paid in the month after the sale	68
Percent paid in the second month after the sale	5

Bennett's anticipated sales for the next few months are as follows:

April	$250,000
May	290,000
June	280,000
July	295,000
August	300,000

Required:

1. Calculate credit sales for May.
$fill in the blank 5ada08018fd8065_1

Calculate credit sales for June.
$fill in the blank 5ada08018fd8065_2

Calculate credit sales for July.
$fill in the blank 5ada08018fd8065_3

Calculate credit sales for August.
$fill in the blank 5ada08018fd8065_4

2. Prepare a schedule of cash receipts for July and August. Round your answers to the nearest whole dollar, if necessary. If an amount box does not require an entry, leave it blank or enter "0". Be sure to enter percentages as whole numbers.

Bennett Inc. Schedule of Cash Receipts For July and August
	July	August
Cash sales	$fill in the blank 0d736a0a1029fad_1	$fill in the blank 0d736a0a1029fad_2
Payments on account:
From May credit sales:
$fill in the blank 0d736a0a1029fad_3 × fill in the blank 0d736a0a1029fad_4 %	fill in the blank 0d736a0a1029fad_5	fill in the blank 0d736a0a1029fad_6
From June credit sales:
$fill in the blank 0d736a0a1029fad_7 × fill in the blank 0d736a0a1029fad_8 %	fill in the blank 0d736a0a1029fad_9
$fill in the blank 0d736a0a1029fad_10 × fill in the blank 0d736a0a1029fad_11 %		fill in the blank 0d736a0a1029fad_12
From July credit sales:
$fill in the blank 0d736a0a1029fad_13 × fill in the blank 0d736a0a1029fad_14 %	fill in the blank 0d736a0a1029fad_15
$fill in the blank 0d736a0a1029fad_16 × fill in the blank 0d736a0a1029fad_17 %		fill in the blank 0d736a0a1029fad_18
From August credit sales:
$fill in the blank 0d736a0a1029fad_19 × fill in the blank 0d736a0a1029fad_20 %	fill in the blank 0d736a0a1029fad_21	fill in the blank 0d736a0a1029fad_22
Cash receipts	$fill in the blank 0d736a0a1029fad_23	$fill in the blank 0d736a0a1029fad_24

Definition Definition Estimate of an organization's cash flow for a future period. A cash budget forecasts future cash receipts and payments from various sources for a fiscal year. A cash budget can be created once a month or once a week to determine the organization's cash position and ensure its performance in relation to the budget. It aids in determining whether the company has enough cash and cash equivalents to meet its operational needs in the future.

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