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Omar Inc.
Management is now preparing detailed budgets for the third quarter, July through September, and has assembled the following information to assist in preparing the budget.
The marketing department has estimated sales in units as follows for the remainder of the year.
June 6,500
July 5,400
August 7,200
September 4,600
October 3,800
The selling price of the swim fins is $35 per pair. All sales are on account. Based on the experience, the company has learned that 40% of a month's of sales are collected in the month of sale, another 50% are collected in the month following and the remaining 10% are collected in the second month of sale. May sales totaled $ 105,000 and June Sales $227,500.
Question 1: What is the accounts reciavble
Applying Activity Based Costing
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