The vice president of marketing prepared the following forecast for the last quarter. jared Company Sales Forecast For t
Posted: Wed May 04, 2022 4:41 pm
The vice president of marketing prepared the following forecast
for the last quarter.
jared Company
Sales Forecast
For the quarter ended December 31, 2022
Month
October
November December
Units 5,000 6,000 5,500
Sales
Price x
$
20 x
$ 20 x $ 20
$ 100,000 $
120,000 $ 110,000
The accounts receivable manager indicated that ten (10) percent
to all sales are in cash; fifteen (15) percent are collected in the
month of the sale; sixty (60) percent are collected one month after
the sale, and fourteen (14) percent are collected two months after
the sale. The remaining amounts are assumed to be uncollectible.
The beginning balance in account receivable consisted of $ 64,800
from September and $ 10,000 from August.
Required: Prepare the cash collection
schedule for the fourth quarter.
Calculate the uncollectible accounts expense.
for the last quarter.
jared Company
Sales Forecast
For the quarter ended December 31, 2022
Month
October
November December
Units 5,000 6,000 5,500
Sales
Price x
$
20 x
$ 20 x $ 20
$ 100,000 $
120,000 $ 110,000
The accounts receivable manager indicated that ten (10) percent
to all sales are in cash; fifteen (15) percent are collected in the
month of the sale; sixty (60) percent are collected one month after
the sale, and fourteen (14) percent are collected two months after
the sale. The remaining amounts are assumed to be uncollectible.
The beginning balance in account receivable consisted of $ 64,800
from September and $ 10,000 from August.
Required: Prepare the cash collection
schedule for the fourth quarter.
Calculate the uncollectible accounts expense.