Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. l07-2 exercise 7-5b determining cash receipts fr

L07-2 Exercise 7-5B Determining cash receipts from accounts receivable Lingo Corporation...

50.1K

Verified Solution

Question

Accounting

L07-2
Exercise 7-5B Determining cash receipts from accounts receivable
Lingo Corporation is about to start a business as an agricultural products distributor. Because its customers will all be retailers, Lingo will sell its products solely on account. The company expects to collect 50 percent of accounts receivable in the month of sale and the remaining 50 percent in the following month. Lingo expects sales revenues of $300,000 in July, the first month of operation, and $240,000 in August.
Required
a. Determine the amount of cash Lingo expects to collect in July.
b. Determine the amount of cash Lingo expects to collect in August.
image

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Zin AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

Networking ~ A 2016 study conducted by LinkedIn found that 85% of all jobs are filled...

Statistics
Q

In Example 6.33 we found the distribution of the sum of two i.i.d. exponential variables with...

Statistics
Q

do you believe that ADHD is merely a behavioral disorder, or do you believe there is...

Psychology
Q

Which statement provides the correct order of steps in the multiplication of anim viruses Entry...

Biology
Q

An artificial satellite of mass m of a planet of mass M revolves in a...

Physics
Q

Example 11 2 A porter lifts a luggage of 15 kg from the ground and...

Physics
Q

The Lax Wendroff Scheme Assume the hyperbolic equation frac partial u partial t a frac...

Basic Math
Q

Consider the following If an answer does not exist enter DNE f x In 2...

Calculus
Q

Computing cash flows from operating activitiesindirect method JAK Equipment, Inc. reported the following data for...

Accounting
Q

Please use adjusted cost basis to compute depreciation allowance and book value: Adjusted cost basis...

Accounting
Q

Lynch Company manufactures and sells a single product. The following costs were incurred during the...

Accounting
Q

Show the journal entries to record the first two interest payments. Ignore year-end accruals of...

Accounting