The cash collection pattern of Twice Co. Inc shows that 60% of sales are collected on the month of sale, 30% is collected on the next month and the remaining is collected on the third month from the month of sale. The monthly sales are shown as follow Feb March April 1,400,000 Jan May 1,200,000 1,600,000 1,000,000 1,500,000 Create cash collection budget

The cash collection pattern of Twice Co. Inc shows that 60% of sales are collected on the month of sale, 30% is collected on the next month and the remaining is collected on the third month from the month of sale. The monthly sales are shown as follow Feb March April 1,400,000 Jan May 1,200,000 1,600,000 1,000,000 1,500,000 Create cash collection budget

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter7: Budgeting

Section: Chapter Questions

Problem 9EB: Cash collections for Renew Lights found that 65% of sales were collected in the month of sale, 25%...

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Cash collections for Renew Lights found that 65% of sales were collected in the month of sale, 25% was collected the month after the sale, and 10% was collected the second month after the sale. Given the sales shown, how much cash will be collected in March and April?
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