Asked on 23 Mar 2020

Kailua and Company is a legal services firm. All sales of legal services are billed to the client (there are no cash sales). Kailua expects that, on average, 20% will be paid in the month of billing, 50% will be paid in the month following billing, and 25% will be paid in the second month following billing. For the next 5 months, the following sales billings are expected: May $84,000 June 100,800 July 77,000 August 87,100 September 90,000.

Required:

Prepare a schedule showing the cash expected in payments on accounts receivable in August and in September. If an amount box does not require an entry, leave it blank or enter "0". Be sure to enter percentages as whole numbers.

Kailua and Company Schedule
        August   September
June:            
$ ×  %       $   $
July:            
$ ×  %            
$ ×  %            
August:            
$ ×  %            
$ ×  %            
September:            
$ ×  %            
Total cash receipts       $  

    $

Answered on 23 Mar 2020

Unlock this answer

Get 1 free homework help answers
Access 3.7 million verified answers.
Get access
Already have an account? Log in