Orion Corporation is preparing a cash budget for the six months beginning January 1.Shown below are the company's expected collection pattern and the budgeted sales for the period:
Expected collection pattern:
65% collected in the month of sale
20% collected in the month after sale
10% collected in the second month after sale
4% collected in the third month after sale
1% uncollectible
What would be the estimated total cash collections during April from sales and accounts receivables?
A) $155,900.
B) $167,000.
C) $171,666.
D) $173,400.

Question

Orion Corporation is preparing a cash budget for the six months beginning January 1.Shown below are the company's expected collection pattern and the budgeted sales for the period:
Expected collection pattern:
65% collected in the month of sale
20% collected in the month after sale
10% collected in the second month after sale
4% collected in the third month after sale
1% uncollectible 
What would be the estimated total cash collections during April from sales and accounts receivables?
A) $155,900. 
B) $167,000. 
C) $171,666. 
D) $173,400.

Quizplus · Accepted Answer

The Answer of Orion Corporation is preparing a cash budget for the six months beginning January 1.Shown below are the company's expected collection pattern and the budgeted sales for the period:
Expected collection pattern:
65% collected in the month of sale
20% collected in the month after sale
10% collected in the second month after sale
4% collected in the third month after sale
1% uncollectible 
What would be the estimated total cash collections during April from sales and accounts receivables?
A) $155,900. 
B) $167,000. 
C) $171,666. 
D) $173,400.

Orion Corporation Is Preparing a Cash Budget for the Six