Maynard Company projects the following sales for the first three months of the y
ID: 2582304 • Letter: M
Question
Maynard Company projects the following sales for the first three months of the year: $13,500 in January; $16,100 in February; and $12,900 in March. The company expects 80% of the sales to be cash and the remainder on account. Sales on account are collected 50% in the month of the sale and 50% in the following month. The Accounts Receivable account has a zero balance on January 1. Round to the nearest dollar. Read the requirements Requirement 1. Prepare a schedule of cash receipts for Maynard for January, February, and March. What is the balance in Accounts Receivable on March 31? (Leave unused and zero balance account cells blank, do not enter "O".) Cash Receipts from Customers JanuaryFebruary March Total Total sales January February March Total Cash Receipts from Customers: Accounts Receivable balance, January 1 January- Cash sales January-Credit sales, collection of January sales in January January-Credit sales, collection of January sales in FebruaryExplanation / Answer
Maynard Company Requirement 1 Cash Receipts from customers January February March Total Total Sales 13500 16100 12900 42500 Cash Receipts from customers Accounts Receivable balance January 1 January Cash Sales 10800 January Credit sales, Collection of January Sales in January 1350 January Credit sales, Collection of January Sales in February 1350 February Cash Sales 12880 February Credit Sales, Collection of February Sales in February 1610 February Credit Sales, Collection of February Sales in March 1610 March Cash Sales 10320 March Credit Sales, Collection of March Sales in March 1290 Total Cash Receipts from customers 12150 15840 13220 41210 Accounts Receivable Balance, March 31 March Credit Sales, Collection of March Sales in April 1290 Requirement 2 Cash Receipts from customers January February March Total Total Sales 13500 16100 12900 42500 Cash Receipts from customers Accounts Receivable balance January 1 January Cash Sales 10800 January Credit sales, Collection of January Sales in January 2160 January Credit sales, Collection of January Sales in February 405 January Credit Sales, Collection of January sales in March 135 February Cash Sales 12880 February Credit Sales, Collection of February Sales in February 2576 February Credit Sales, Collection of February Sales in March 483 March Cash Sales 10320 March Credit Sales, Collection of March Sales in March 2064 Total Cash Receipts from customers 12960 15861 13002 41823 Accounts Receivable Balance, March 31 February Credit Sales, Collection of February sales in April 161 March Credit Sales, Collection of March Sales in April 387 March Credit Sales, Collection of March Sales in May 129 Total 677 We appreciate the rating of our answers Thank You