The Morning Jolt Coffee Company has projected the following quarterly sales amounts for the coming year: Q1...

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Finance

The Morning Jolt Coffee Company has projected the followingquarterly sales amounts for the coming year:
  Q1   Q2   Q3  Q4
  Sales $ 710 $ 740 $ 820 $ 900
a.
Accounts receivable at the beginning of the year are $290. Thecompany has a 45-day collection period. Calculate cash collectionsin each of the four quarters by completing the following (Negativeamounts should be indicated by a minus sign. Round your answers to2 decimal places, e.g., 32.16.):
Q1 Q2 Q3 Q4
  Beginning receivables $ $ $ $
  Sales 710.00 740.00 820.00 900.00
  Cash collections

  Ending receivables $ $ $ $

b.
Recalculate the cash collections with a collection period of 60days. (Negative amounts should be indicated by a minus sign. Roundyour answers to 2 decimal places, e.g., 32.16.)
Q1 Q2 Q3 Q4
  Beginning receivables $ $ $ $
  Sales 710.00 740.00 820.00 900.00
  Cash collections

  Ending receivables $ $ $ $

c.
Recalculate the cash collections with a collection period of 30days. (Negative amounts should be indicated by a minus sign. Roundyour answers to 2 decimal places, e.g., 32.16.)
Q1 Q2 Q3 Q4
  Beginning receivables $ $ $ $
  Sales 710.00 740.00 820.00 900.00
  Cash collections

  Ending receivables $ $ $ $

Answer & Explanation Solved by verified expert

4.2 Ratings (831 Votes)

Beginning receivables are provided for the first quarter as 290 for all the subsequent quarters we will use ending receivables of the previous quarter as Beginning receivables Since we are calculating the collections See Answer

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