Trapp Co.was organized on August 1 of the current year.Projected sales for the next three months are as follows:

The company expects to sell 40% of its merchandise for cash.Of the sales on account,one third are expected to be collected in the month of the sale and the remainder in the following month.
Prepare a schedule indicating cash collections of accounts receivable for August,September,and October.

Question

Trapp Co.was organized on August 1 of the current year.Projected sales for the next three months are as follows:
  
The company expects to sell 40% of its merchandise for cash.Of the sales on account,one third are expected to be collected in the month of the sale and the remainder in the following month.
Prepare a schedule indicating cash collections of accounts receivable for August,September,and October.

Quizplus · Accepted Answer

The Answer of Trapp Co.was organized on August 1 of the current year.Projected sales for the next three months are as follows:
  
The company expects to sell 40% of its merchandise for cash.Of the sales on account,one third are expected to be collected in the month of the sale and the remainder in the following month.
Prepare a schedule indicating cash collections of accounts receivable for August,September,and October.

Trapp CoWas Organized on August 1 of the Current Year