Bright Minds Toy Company prepared the following sales budget for the second quarter. Projected sales...
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Accounting
Bright Minds Toy Company prepared the following sales budget for the second quarter. Projected sales for each of the first three months of operations are as follows:
Sales Budget
April
May
June
Cash Sales
125,000
81,000
150,000
Sales on Account
465,000
508,000
500,000
590,000
589,000
650,000
Bright Minds expects to collect 70% of the sales on account in the month of sale, 20% in the month following the sale, and the remainder in the second month following the sale.
What is the ending accounts receivable balance that would be reported on the pro forma balance sheet prepared as of June 30?
Multiple Choice
$200,800
$148,100
$341,000
$105,400
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