What the february expected cash receipts

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Q1. A company's history indicates that 20% of its sales are for cash and the rest are on credit. Collections on credit sales are 20% in the month of the sale, 50% in the next month, 25% the following month, and 5% is uncollectible. Projected sales for December, January, and February are $60,000, $85,000, and $95,000, respectively. What the February expected cash receipts from all current and prior credit sales?

Q2. Adelphi Company has budgeted activity for March to reflect net income $105,000. All sales are credit sales. Receivables are planned to increase (decrease -) by $15,000 payables to increase (decrease -) by $13,000 and Depreciation Expense is $40,000. Use this information to determine how much cash will increase (decrease) during the month of March.

Reference no: EM133124165

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