Parlee Company's sales are 30% in cash and 70% on credit.Sixty percent of the credit sales are collected in the month of sale,25% in the month following sale,and 12% in the second month following sale.The remainder is uncollectible.The following are budgeted sales data:
What would be the budgeted total cash receipts in April?
A) $27,230.
B) $36,230.
C) $38,900.
D) $47,900.

Question

Parlee Company's sales are 30% in cash and 70% on credit.Sixty percent of the credit sales are collected in the month of sale,25% in the month following sale,and 12% in the second month following sale.The remainder is uncollectible.The following are budgeted sales data: 
What would be the budgeted total cash receipts in April?
A) $27,230. 
B) $36,230. 
C) $38,900. 
D) $47,900.

Quizplus · Accepted Answer

The Answer is B

Parlee Company's Sales Are 30% in Cash and 70% on Credit.Sixty