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Question - Schedule of Cash Collections on Accounts Receivable and Cash Budget Roybal Inc. sells all of its product on account. Roybal has the following accounts receivable payment experience:
Percent paid in the month of sale 20
Percent paid in the month after the sale 55
Percent paid in the second month after the sale 23
To encourage payment in the month of sale, Roybal gives a 2% cash discount. Roybal's anticipated sales for the next few months are as follows:
April $256,500
May 334,800
June 351,000
July 324,000
August 405,000
Required -
1. Make a schedule of cash receipts for July. Be sure to enter percentages as whole numbers.
2. Make a schedule of cash receipts for August. Be sure to enter percentages as whole numbers.
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