Getty Company expects sales for the first three months of next year to be $195,000,...
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Getty Company expects sales for the first three months of next year to be $195,000, $235,000 and $300,000, respectively. Getty expects 40 percent of its sales to be cash and the remainder to be credit sales. The credit sales will be collected as follows: 10 percent in the month of the sale and 90 percent in the following month. Compute a schedule of Getty's cash receipts for the months of February and March March February + Budgeted cash receipts Crew Clothing (CC) sells women's resort casual clothing to high-end department stores and in its own retail boutiques. CC expects sales for January, February, and March to be $500,000, $560,000, and $580,000. respectively. Twenty percent of CC's sales are cash, with the remainder collected evenly over two months. During December , CC's total sales were $810,000. CC is beginning its budget process and has asked for your help in preparing the cash budget. Compute CC's expected cash receipts from customers for each month. January February March Budgeted cash receipts
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