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Brady, Inc. is in the process of budgeting cash inflows for the next three months. Cash sales are 10 percent of total sales each month. Historically,...
Brady, Inc. is in the process of budgeting cash inflows for the next three months. Cash sales are 10 percent of total sales each month. Historically, sales on account have been collected as follows: 70 percent in the month of sale, 25 percent in the month after the sale, and the remaining 5 percent two months after the sale. Sales for the next three months are projected as follows: April, $192,000; May, $210,000; and June, $220,000. Accounts receivable on March 31 was $54,000. a) The expected total cash collections of Brady, Inc. in June are? b) What is the budgeted accounts receivable balance on June 30 for Brady, Inc.?