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Wells Company reports the following budgeted sales: September. $50,000; October $68,000; and November $82,000. All sales are on credit, and 5% of those credit sales are budgeted as uncollectible. Collection of the remaining 95% of credit sales are budgeted as follows: 60% in the first month after sale and 35% in the second month after sale. Prepare a schedule of cash receipts from sales for November Answer is complete but not entirely correct. $ 82,000 WELLS COMPANY Schedule of Cash Receipts from Sales November Sales Cash receipts from Cash sales Collection at October sales Collection of September sales Total cash recept $ 40.800 17 500 58 300 116.600 X X X X X X $ Kingston budgets total sales for June and July of $430,000 and $428,000, respectively, Cash sales are 60% of total sales. Of the credit sales, 25% are collected in the month of sale, 65% are collected during the first month after the sale, and the remaining 10% are collected in the second month after the sale. Determine the amount of accounts receivable reported on the company's budgeted balance sheet as of July 31. Hint: Determine the percent of June and July sales that are uncollected at July 31 Sales month Answer is complete but not entirely correct. As of July 31 Total Sales Credit Sales Percent Amount Uncollected Uncollected 430,000 $ 172.000 35%>$ 6,8803 428,000 171,200 35% X 51,300 58 240 June July Total >>

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