Schedule of Cash Collections on Accounts Receivable and Cash Budget Roybal Inc. sells all of its product on account. Roybal has the following accounts receivable payment experience: Percent paid in the month of sale 20 Percent paid in the month after the sale 55 Percent paid in the second month after the sale 23 To encourage payment in the month of sale, Roybal gives a 2% cash discount. Roybal's anticipated sales for the next few months are as follows: April $228,000 May 297,600 June 312,000 July 288,000 August 360,000 Required: 1. Prepare a schedule of cash receipts for July. Be sure to enter percentages as whole numbers.
Schedule of Cash Collections on Accounts Receivable and Cash Budget Roybal Inc. sells all of its product on account. Roybal has the following accounts receivable payment experience: Percent paid in the month of sale 20 Percent paid in the month after the sale 55 Percent paid in the second month after the sale 23 To encourage payment in the month of sale, Roybal gives a 2% cash discount. Roybal's anticipated sales for the next few months are as follows: April $228,000 May 297,600 June 312,000 July 288,000 August 360,000 Required: 1. Prepare a schedule of cash receipts for July. Be sure to enter percentages as whole numbers.
College Accounting, Chapters 1-27
23rd Edition
ISBN:9781337794756
Author:HEINTZ, James A.
Publisher:HEINTZ, James A.
Chapter10: Accounting For Sales And Cash Receipts
Section: Chapter Questions
Problem 2CE: Prepare journal entries for the following sales and cash receipts transactions. (a) Merchandise is...
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Schedule of Cash Collections on
Roybal Inc. sells all of its product on account. Roybal has the following accounts receivable payment experience:
| Percent paid in the month of sale | 20 | ||
| Percent paid in the month after the sale | 55 | ||
| Percent paid in the second month after the sale | 23 |
To encourage payment in the month of sale, Roybal gives a 2% cash discount. Roybal's anticipated sales for the next few months are as follows:
| April | $228,000 | |
| May | 297,600 | |
| June | 312,000 | |
| July | 288,000 | |
| August | 360,000 |
Required:
1. Prepare a schedule of cash receipts for July. Be sure to enter percentages as whole numbers.
Transcribed Image Text:Roybal Inc.
Schedule of Cash Receipts
For July
Payments on account:
From May credit sales:
%
From June credit sales:
%
From July credit sales:
%
Less: July cash discount
%
Cash receipts
2. Prepare a schedule of cash receipts for August. Be sure to enter percentages as whole numbers.
Roybal Inc.
Schedule of Cash Receipts
For August
Payments on account:
From June credit sales:
$1
%
From July credit sales:
%
From August credit sales:
%
Less: August cash discount
%
Cash receipts
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