Reference no: EM1390762
Farley Company reported the following information for 2007:
Budgeted Sales: September $ 240,000; October $310,000; November $290,000; December $360,000; and January $200,000.
Budgeted Purchases: September $ 90,000; October $120,000; November $128,000; December $ 144,000; and January $ 88,000.
- All sales are on credit.
- Customer amounts on account are collected 50% in the month sale and 50% in the following month.
- Cost of goods sold is 35% of sales.
- Farley purchases and pays for merchandise 60% in the month of acquisition and 40% in the following month.
- Accounts payable is used only for inventory acquisitions.
How much cash will Farley receive during November?
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