Ask Question
BusinessBusiness
26 September, 23:36

Lakewood Jet Skis has budgeted sales for June and July at $490,000 and $480,000, respectively. Sales are 75% credit, of which 30% is collected in the month of the sale and 70% is collected in the following month. What is the accounts receivable balance on July 31?

+1
Answers (1)
  1. 26 September, 23:48
    0
    The accounts receivable balance at July 31 is $252000

    Explanation:

    To calculate the balance of accounts receivable at the end of July, we need yo find out the credit sales for July.

    Credit Sales - July = Total sales for July * percentage of sales on credit

    Credit Sales - July = 480000 * 0.75 = 360000

    Out of this, 30% will be collected in the month of July. thus, the accounts receivables balance at July 31 will be 70% of 360000.

    Accounts Receivable balance at July 31 = 360000 * 0.7 = $252000
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “Lakewood Jet Skis has budgeted sales for June and July at $490,000 and $480,000, respectively. Sales are 75% credit, of which 30% is ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
In 100 words, identify the IS components needed for SSE, and explain them in terms of SSE. In 200 words, perform an industry analysis on the sporting goods industry.
Answers (2)
According to the quantity equation, the price level would change less than proportionately with a rise in the money supply if there were also a. either a rise in output or a rise in the rate at which money changes hands. b.
Answers (1)
Consider the market for pens. suppose that increased medical concerns over lead pencils have led schools to steer away from pencil use in favor of pens. moreover, the price of plastic, an important input in pen production, has increased considerably.
Answers (1)
Allied Biscuit Co. is expected to generate a free cash flow (FCF) of $9,760.00 million this year (FCF! = $9,760.00 million), and the FCF is expected to grow at a rate of 21.40% over the following two years (FCF2 and FCF).
Answers (1)
A foundry produces circular utility access hatches (manhole covers). Currently, 120 covers are produced in a 10-hour shift. If labor productivity decreases by 20% due to a process change, it would then be: a) 11.8 covers/hr. b) 96 covers/hr.
Answers (1)
New Questions in Business
Indirect costs are traced to cost objects. Cost drivers are used to allocate indirect costs to cost objects. An allocation rate is calculated by dividing the allocation base by the total cost to be allocated.
Answers (1)
What is the process of optimizing the contributions of people from different cultures in the workplace
Answers (1)
Which of the following groups on the Insert tab contain the command to add WordArt to a publication? Illustrations Text Links Header & Footer
Answers (1)
Avicorp has a $10 million debt issue outstanding, with a 6% coupon rate. The debt has semiannual coupons, the next coupon is due in six months, and the debt matures in five years. It is currently priced at 95% of par value. a.
Answers (1)
In the United States, you can own anything you want and decide what you want to do with it, as long as it does not violate the law. This describes the principle of
Answers (1)
Home » Business » Lakewood Jet Skis has budgeted sales for June and July at $490,000 and $480,000, respectively. Sales are 75% credit, of which 30% is collected in the month of the sale and 70% is collected in the following month.
Sign Up Forgot Password?