Assets Cash $ 68,400 Accounts receivable 35,600 Inventory 67,300 Buildings and equipment, net of depreciation 179,000 Total assets $ 350,300 Liabilities and Stockholders' Equity Accounts payable $ 155,600 Common stock 70,000 Retained earnings 124,700 Total liabilities and stockholders' equity $ 350,300 Budgeted Income Statements April May June Sales $ 191,000 $ 201,000 $ 221,000 Cost of goods sold 114,600 120,600 132,600 Gross margin 76,400 80,400 88,400 Selling and administrative expenses 16,900 18,400 21,400 Net operating income $ 59,500 $ 62,000 $ 67,0001. Calculate the expected cash collections for April, May, and June.

Question

Jeffery Gillespie

Business

1 April, 16:12

Assets Cash $ 68,400 Accounts receivable 35,600 Inventory 67,300 Buildings and equipment, net of depreciation 179,000 Total assets $ 350,300 Liabilities and Stockholders' Equity Accounts payable $ 155,600 Common stock 70,000 Retained earnings 124,700 Total liabilities and stockholders' equity $ 350,300 Budgeted Income Statements April May June Sales $ 191,000 $ 201,000 $ 221,000 Cost of goods sold 114,600 120,600 132,600 Gross margin 76,400 80,400 88,400 Selling and administrative expenses 16,900 18,400 21,400 Net operating income $ 59,500 $ 62,000 $ 67,0001. Calculate the expected cash collections for April, May, and June.

+3

Answers (1)

Know the Answer?

Jaydon Levy · Answer 1

The expected cash collections for April, May, and June is Net operating income $ 59,500, $ 62,000, $ 67,000 respectively.

Explanation:

If there're no other events such as late payments, return of good, recall of debts ... the cash collected is the net operating income (sales deducted cost of goods sold and all related expenses).