Nancy Jackson, Waterway & Daniel Fabricators' accounts receivable manager, has just received the company's sales...
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Nancy Jackson, Waterway & Daniel Fabricators' accounts receivable manager, has just received the company's sales budget for the first quarter. January February $702,000 March $910,000 Quarter $2,236,000 Budgeted revenue $624,000 The company makes all sales on credit. Nancy recently reviewed the company's collection history and found that 72% of the sales are collected in the month of the sale, 26% of sales are collected in the month following the sale, and 2% of sales are uncollectible. The company expects to have a net accounts receivable balance of $98,200 on January 1, and this amount represents the remaining receivables from December's sales. Prepare Waterway & Daniel's cash receipts budget for the first quarter. (Enter answers in necessary fields only. Leave other fields blank. Do not enter 0.) Cash Receipts Budget February March January Tota December credit sales $ $ $ $ January sales February sales March sales Totals $ $ $ $ Determine the Net Accounts Receivable at the end of the quarter. Assume that there are no outstanding accounts receivable and allowance for doubtful accounts balances at the beginning of December for the prior year. Net Accounts Receivable LA $
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